Most People have Chosen to be on Plan F But here is why you should consider Plan G
The difference between plan Plan F and Plan G is the annual Part B deductible of $185. After the deductible is met, Plan G benefits are exactly the same as Plan F.
Plan F includes coverage of copays, deductibles, and coinsurance and that is why it has been so popular among Seniors on Medicare. Plan F can cost you more money for basically the same coverage as Plan G. Most people get Plan F because their agent told them it pays for everything. It pays for everything but at a much higher premium than Plan G.
There a couple of reasons why an Agent or Agency might recommend Plan F over Plan G. Plan F typically has a higher premium than Plan G and that means a higher commission to the insurance Agent. Some insurance carriers don't offer Plan G so they must sell Plan F.
The main difference between Plan F and Plan G is the money YOU WILL SAVE ON PLAN G. You could save Thousands of dollars over time.
Why does Plan F cost more than Plan G?
Plan F costs more money for the Insurance company because they manage and pay the part B deductible for you. You are paying a convenience fee in addition to the $185 deductible. Although Plan F covers the Part B deductible, you are still paying for it. It's just added to the premium.
Plan F is susceptible to rate increases because its guaranteed acceptance with qualifying individuals, therefore has more unhealthy people than Plan G.
Starting January 1, 2020, Plan F will no longer be offered by insurance companies
Congress passed legislation prohibiting the sale of plans offering Part B deductible coverage (this includes Plan F).
If you are currently on Plan F, you will be able to keep your plan but rates may continue to increase at a faster pace. This is due to an aging, less healthy pool of people on Plan F that will not have the benefit of younger, healthier people continuing to join their Plan F rate pool(after 2020).
This Chart will Give you average Rate increases of Plan F and Plan G in the next 10 years
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