Why are Med Supp Policies Zip Code Rated?

[MedSuppPro]

In Oregon it is the same rate for the whole state. The rates are age banded. In Washingon State it is rated by County.

Good to see ya back! How have ya dun on your own so far?

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I see rates set by claims, claims, claims. Some areas of the country have more breathing problems and cancer. It just comes down to some pencil neck geek actuary who claims to be able to predict the future.

Bitburger's Rock!!!

 

[retread]

I also learned what "Usual and Customary" (U&C) charges are. They are regional charges. A group of doctors in a rural area may be changing 150% of the Medicare Fee Schedule. This is considered the Usual and Customary charges for that area. However, in a wealthy urban area the U&C charges may be 300% of the Medicare Fee Schedule.

You said a mouthful, Frank, but I want to just zero in on one thing, U&C. My supplemental insurance company (a retiree group plan - PPO- administered by UHC) tells me that there is also a difference in the way they will process a claim from in-network to out-of-network. If you use a network provider, you have the deductible applied to the network negotiated fee for service. If you go out of network, you have the deductible applied to the U&C which is higher. Then the 80/20 coinsurance is applied....

Just thought I would throw this in for those who only work with co-pay plans.