As too good to be true as it sounds – yes, there are Medicare Advantage plans that do not charge premiums.
How is this possible?
Companies that sell Medicare Advantage plans have contracts with healthcare providers, which makes it mutually beneficial for policyholders and providers within the network. Those with Medicare Advantage plans have incentive to see these medical professionals because they can see them at lower costs. This is especially true for Preferred Provider Organization (PPO) plans. PPO plans give coverage for several healthcare providers within their networks, but give greater discounts for a select few. The medical professionals in turn will have a consistent flow of patients, which translates to consistent revenue to keep their practices in business.
Is there a catch?
Premium-free Medicare Advantage plans often charge higher rates for coinsurance and copayments as a small trade-off. This is a subtle increase, and not so much that it makes Medicare Advantage plans with $0 premiums a bad deal.
What are other ways to save on premiums?
If you are considered to meet your state’s standards for low-income status based on Modified Adjusted Gross Income (MAGI), you can qualify for Medicaid. Medicaid alone will make healthcare significantly more affordable.
If you’re also eligible for Medicare, there is a Medicare Advantage plan that can give you the benefits of both. This is the Dual-Eligible Special Needs Plan (D-SNP). Your Medicare Advantage plan will cover you first, and then Medicaid will cover what it can of the remainder. But its coverage isn’t limited to the coinsurance and copayment costs. The D-SNP also helps pay for Medicare Advantage’s mandatory Part A and B premiums, which can make this Medicare Advantage plan a lower cost than the standard premium-free Medicare Advantage plans.
Another option you have for getting free premiums through Medicare Advantage is enrolling in a Medicare Savings Account (MSA). MSAs are premium-free and offer Original Medicare’s benefits in addition to coverage for such services as dental, vision, and hearing. Your plan deposits money into a special account, which can then go toward your medical expenses. Whatever money left over at the end of the year will stay in your account. This way, the amount you save on your healthcare costs grows as you hold your policy.
Premium-free Medicare Advantage is one call away
When you call us at KBI Solutions, we give you the full details of any Medicare plan that works in your favor. Call us today at 254-918-5444 to see what premium-free Medicare Advantage policies are available to you.
