End of Summer Medicare Newsletter
Dear Clients -
I hope you all have been doing well and are enjoying the warmer weather. I have had a great summer myself which included a triathlon up in Burley, Idaho, and a trip up to Banff, Canada with my girlfriend Jackie (picture above). As the summer winds down, I wanted to send out a newsletter with some general info regarding the Medicare space, as well as a few action items for you to ensure your Medicare coverage continues to meet your needs next year and beyond.
The 2027 plan year funding for Medicare Advantage plans was finalized at a 2.48% rate increase, which was well below medical inflation this year, and also lower than funding rates from previous years. This has made it harder for carriers to be profitable on their plan offerings. Though next year’s Medicare Advantage plans have not been publicly released yet, I expect to see 2027 plans with benefit reductions, as well as some unprofitable plans being terminated at the end of the year. It is disappointing to me that seniors who have worked hard and paid taxes their whole lives are negatively impacted by funding decisions that are outside of their control, but unfortunately it is how the current system works. More states are also allowing more flexibility on the Medicare Supplement side and allowing Guarantee Issue in certain situations (if a member’s MA plan is terminated, or if they switch during their birth months in certain states). Since these Supplement carriers in some states don’t have a way to legally underwrite these displaced clients, it is negatively impacting their risk pools as well and causing premiums to increase on these Medicare Supplement plans. With these changes happening in the Medicare space, I want to assist as best I can to make sure you feel great about your coverage for the 2027 year and beyond, so below I have a few action items that will help us ensure this.
#1 - Please keep an eye out for your ANOC (annual notice of change) letter from your current insurance carrier. This is different from all the Medicare marketing mail you get from agents trying to constantly change your plan. These will be mailed out in September. If you are worried your mailing address might not be up to date on your insurance carrier’s records, give them a call to verify it. When you get this letter in the mail, please read over it carefully so you understand how your specific plan coverage is changing for the 2027 year. If you are happy with the changes to your current coverage for next year, there is no action needed from you as the plan will automatically renew. If you have any questions on your ANOC letter or would like to schedule a review with me, don’t hesitate to reach out!
#2 - Don’t get overwhelmed with all the mailers, TV ads, and unsolicited phone calls you have been and will continue to receive from Medicare agents trying to change your plan, especially this time of year. A few of my clients this year have unfortunately allowed other agents to change their plans for “richer benefits”, only to find out afterwards that an important doctor, prescription, or hospital was not in network, or that a copay for a service they utilize often was significantly higher. In most of these cases, I was unable to change their plan back due to being outside of the open enrollment period. Please contact me directly with any questions you have about your plan benefits and other options available, and remember I am a broker so I generally represent most insurance carriers in your area. I already have your info on file and understand your health insurance needs, so I am happy to help year-round. If you would like to protect yourself from most unsolicited telemarketing calls, you can register for the Do Not Call List registry for free by calling 1-888-382-1222.
#3 - Keep an eye out for a handwritten mailer from myself! As 2027 information gets finalized, I will send a mailer to every client with more detailed info regarding your plan changes and my recommendation. I will also be reaching out via call/text to clients whose plans are going to be highly impacted or terminated at the end of this year.
#4 - If any of the doctors/prescriptions/pharmacies that are part of your health needs have changed since we last talked, please take a few moments to fill out the link below, and include all current doctors, prescriptions, and pharmacy info. This allows my system to update your existing file with all your current information!
https://www.sunfirematrix.com/app/blazesync/medicareadvocates/21075418/2026
#5 - Consider adding a Hospital Indemnity plan to your Medicare coverage. For clients who do not have full Medicaid, rising copays and max out-of-pocket limits on Medicare Advantage plans mean that you may face more financial exposure when using your plan next year. Hospital Indemnity plans pay out direct cash benefits that can be used to cover ambulance rides, outpatient surgeries, daily hospital stays, and cancer costs. Premiums are affordable and many plans are available guarantee issue - no underwriting required. Benefits and costs do vary from state to state, so feel free to reach out to me to get more information.
I really appreciate you allowing me to be a resource for you with your health insurance needs. It’s an honor to assist, and if you need anything just let me know! If you know anybody else needing health insurance assistance, feel free to share my info with them - and if you’re happy with my services, feel free to leave me a google review at the link below as well.
https://g.page/r/CQFkLRT_ifj7EAI/review
Best always,
Garrett Faragher
