Medicare: The difference between two giants

If you are 65 years old or are reaching this age mark, then you are getting closer and closer to minimum age that is required for eligibility. According to research a lot of confusion is found among enrollees of Original Medicare that which one is better (Original Medicare or Medicare Advantage) due to this confusion we can put it as Medicare Advantage vs. Medicare. Now let us discuss both types separately.

Original Medicare

It is simpler, and default version of health security and majority of health security enrollees have this insurance policy. Original health insurance is made up of two major parts which are:

  • Part A: This part helps in covering the costs of hospitalization.
  • Part B: And this one is used for covering costs of durable equipment, doctor visits, etc.

how much do medicare supplement plans in 2019 costAnother essential thing is that with Original health insurance one can use services of Medigap to cover costs of Part A and Part B. The Part B comes with a monthly premium. Furthermore, it allows its members to see any doctor or specialist without referral in the country who is Medicare approved. There is also no limit on the out-of-pocket costs.

Medicare Advantage

On the other hand, medical security Advantage comes in different types (in form of plans), but all of them have one thing in common which is that they are bound to offer all those perks which are offered by Original Medicare Parts A and B. Moreover, health insurance Advantage places a maximum on the out-of-pocket costs which in turn helps its members to save money. HMO and PPO are two most important plans of this policy and majority of Medicare Advantage’s members fall into these two plans. The private insurance company that offers health insurance Advantage has all rights to set whatever prices it wants to for all of its plans. Furthermore, HMO plan is such a plan which does not allow its members to avail out-of-network services. However, PPO plan does allow but charges some higher fee as well.

Stability

This year Medicare Advantage plans for 2019 make a decision that whether they want to remain in health insurance or not. Similarly, these plans modify their perks and benefits. It has also been reported that in near future the Affordable Care Act will modify the ways in which MA plans are paid due to which plan costs will be affected tremendously. However, Original health insurance will always remain in action with slight annual increase in its deductibles. Therefore, Original health insurance seems to be more stable.