Medicare Supplement High Deductible Plan F Going Away??

May 16, 2018

  1. phaedruspress
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    phaedruspress New Member

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    If there is a better or more appropriate or active forum to move this to please do so.

    So I know that this is going away in 2020 though if you already have it as I do you are I guess grandfathered in though I suppose if the Ins. agency decides to dump it anyway you are SOL.I currently have HDF with Globe Life. My questions is since this type of Medigap insurance will no longer be accepting new members is it logical to assume that since the pool will not be increasing as members begin to die off will this type of insurance inevitably and exponentially become more expensive with a limited number of resources to populate it? If so what should I be looking at in the coming years to replace it. TIA.
     
  2. DS4
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    DS4 Guru

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    Most all my companies that offer HD Plan F have had premium rate passes over the past several years because the claims experience has been favorable. That is because the ins company pays nothing until the deductible of $2240 is met. IMO, most people on HD Plan F are very low utilizers(ie healthy).
     
    DS4, May 16, 2018
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  3. goillini52
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    goillini52 BUILD THAT WALL!!!

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    They can't "dump" you. Your policy is guaranteed renewable for life and you can keep it as long as you want.
     
  4. LostDollar
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    LostDollar Guru

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    Caveat, I am not an agent.

    A question. Do you have any plans to replace it now?

    In other words did you buy HDF planning to keep that plan until your demise, or did you plan on trying to anticipate a season of downturning health and switch to a G or N?

    If you are planning on making a change anyway and 2020 is close to the time frame, 2021 or 2022 might be a good time to just go ahead and make the change, assuming your health allows you to do so.

    Otherwise: when Plan F is no longer available for new beneficiaries, Plan G is the replacement for Plan F. I believe there will be an HDG plan added to the market at that time and you can make a choice of when, or if, you want to change. As long as the differential between an HDF and an HDG doesn't get too high, I think the HDF will continue to be a slightly better deal for those of us who have access to it because of the Part B deductible issue.

    EDIT
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    Ignore the premium differential comment.
    Clarifications further in thread.
    ----------------------------------------

    One other thing-and this is definitely just a personal opinion.
    Based on rate history information I see on the Kansas Insurance Commissioner's website, I think that in 2020 we might see an "epidemic" of carriers closing old books of business and opening new ones.
     
    Last edited: May 16, 2018
  5. GreenSky
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    GreenSky Guru

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    Clearly you're not an agent.

    Please explain how often someone will pay the out of pocket maximum on a HDG without meeting the Part B deductible. How slightly better deal will it be?

    Rick
     
    GreenSky, May 16, 2018
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  6. somarco
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    somarco That Medicare Guy

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    I know this (about HDF) has been discussed on the forum before but I believe the consensus is "regular" F is going away (new sales only) but HDF remains since there is no first dollar coverage.
     
    somarco, May 16, 2018
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  7. LostDollar
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    LostDollar Guru

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    I have no way to find it easily, but I am pretty sure I have read something reasonably official that indicates the HDF plan will be replaced with an HDG plan for new enrollees.

    EDIT
    (CSG actuarial)
     
    Last edited: May 16, 2018
  8. LostDollar
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    LostDollar Guru

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    EDIT
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    This post is incorrect.
    LD
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    For those that will have access to both the HDF and HDG plans, the HDF will be better pricewise until the HDG plan is less than the HDF plan by an annual amount exceeding the amount of the Part B deductible.

    Or you can work out some other comparison comparing HDF premium + expected deductible to use against HDG premium + Part B deductible + expected deductible to use. I will be doing my comparison as I expressed above.
     
    Last edited: May 16, 2018
  9. LostDollar
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    LostDollar Guru

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    A pass on rate increase has not been my experience here so far.
     
  10. GreenSky
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    GreenSky Guru

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    Doubtful but since you have so much experience selling insurance we certainly respect your insight.

    So does that mean (if it was available today) that HDG would have a $183 Part B deductible PLUS $2,240 out of pocket? So would the OOP actually be $2,423? Why not just design it that way?

    Can't wait for you to tell us what will happen in 18 months.

    Rick
     
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