People With Medicare

Why does it matter how my current Medigap plan compares to the Medicare Prescription Drug Coverage?

You have to decide if you want your Medigap policy to keep paying for your drugs.

If you stay with your Medigap drug coverage AND

Your current plan is not as good as Medicare’s coverage:

  • You could pay less for your drugs if you enroll in a Medicare Prescription Drug Plan.
  • If you have not yet joined a Medicare plan:
    • You can join a Medicare Prescription Drug Plan during the open enrollment period that starts November 15, 2010. Your drug coverage will start on January 1, 2011, if you join by December 31, 2010. However, it is a good idea to join by early December so that you get your plan's card and other materials before January 1 when your coverage will begin.
    • You will probably have to pay higher premiums for your Medicare Prescription Drug Plan. (See Penalty for Enrolling Later). If you would like to join a Medicare drug plan, consider joining during this open enrollment period, from November 15 to December 31, 2010. This way, you will pay a smaller penalty.

OR

Your current plan is as good as Medicare’s coverage:

  • You will want to compare your current policy with the Medicare drug plans in your area to see what will work the best for you.
  • You will not have to pay a penalty if in the future you switch from your Medigap plan to a Medicare drug plan.