Comparing Medicare To Your Employer Plan:
What Should I Do When I’m Medicare Eligible?

You become eligible for Medicare when you turn 65. Your Initial Enrollment Period (IEP) lasts for 7 months, starting 3 months before the month you turn 65 and ending 3 months after. For example, if you turn 65 on July 1, you are eligible to enroll from April 1 to October 1.

It's crucial to enroll during this period to avoid late enrollment penalties and gaps in coverage. The annual enrollment period runs from October 15 to December 7 each year with coverage going into effect January 1.

Watch this video to hear Allsup experts explain Medicare enrollment periods.

Part A (Hospital Insurance): Covers inpatient hospital care, skilled nursing facility care, hospice and some home health services. Most people don’t pay a premium for Part A.

Part B (Medical Insurance): Covers outpatient care, doctor’s services, preventive services and some home health care. Part B usually has a monthly premium.

Part C (Medicare Advantage): A private insurance alternative to original Medicare that typically includes additional benefits like vision, dental and prescription drug coverage.

Part D (Prescription Drug Coverage): Covers the cost of prescription drugs. Offered through private insurance companies.

Watch this video to hear Allsup experts explain the parts of Medicare.

There are two different paths to Medicare after Medicare Parts A and B. These help pay for the 20% of expenses that Medicare doesn’t cover.

The first path is a Medigap Supplement plan, also known as Medigap, and a Part D drug plan. Medigap offers plans which typically have a little higher premium, but after you meet the Part B deductible, you have little to no out-of-pocket cost. You then pick up a Part D drug plan for your prescriptions.

The other path of Medicare is a Medicare Advantage Prescription Drug plan, also known as an MAPD. These plans are most similar to an employer plan where you may have a lower premium and then pay a co-pay or co-insurance as you use the plan. These plans have premiums that begin at as little as zero dollars; they also have drug coverage built in. Both of these paths are in addition to Medicare Parts A and B.

Watch this video to hear Allsup experts explain the paths of Medicare.

For many people, the primary reason is much lower costs for health insurance, which you can put toward other financial needs. Compared to employer plans, Medicare premiums can be lower, with some plans available with zero additional premium. This means after you pay your Medicare A and B premiums, you may not have any additional premium cost. You may save on prescription drug costs, depending on your health needs. Medicare also tends to have a broader provider network. Most employers offer plans by one carrier with a few options, while Medicare has many carriers, covering many doctors and dozens of different plan options available, depending on where you live.

Watch this video to hear Allsup experts explain the value of Medicare.

With Medicare, there are so many things to think about. Allsup Benefits Coordination service offers education on all things Medicare. We’ll walk you through your Medicare options based on your doctors, hospitals and medications, as well as personal healthcare needs and budget. We’ll even compare the healthcare plans offered through your employer to help you decide which option works better for your situation. Often, your employer will cover the cost of the service for you, so our service is free to you.

Watch this video to hear Allsup experts explain the value of Allsup Benefits Coordination service.