Downsides To The Medicare Giveback Benefit
While the giveback benefit can help save you money, there are a few things to be aware of when considering enrolling in an MA plan that offers it.
- Availability. One of these plans may not be available in your area.
- Possible reduction in benefits. MA plans cover everything Original Medicare does and more, typically including coverage for things like routine dental, vision, and hearing. However, some plans that offer a premium reduction benefit eliminate those other benefits to make up for the lower premium. You should weigh the loss of these benefits with the premium savings you’d get.
- May not save you money in the long run. Plans that offer a premium reduction may have a higher annual deductible, co-pays, or co-insurance. They may also have a smaller network of providers, and you’d have to pay more to see someone out-of-network.
- Givebacks vary. While you could get a premium reduction of the full $170.10, it could also be as low as $1. That may not be worth it depending on the other costs and benefits offered or not offered by the plan.
- Giveback amounts could change. MA plans are offered by private insurance companies that set their own fees and costs, and they can change them each year. This means the premium reduction could also change from year to year.
There are so many factors in choosing the right Medicare Advantage plan for your unique needs. That’s the true value of using a Medicare agent.
National Medicare And Ma Enrollment Figures
Over 64 million Americans are enrolled in Medicare, and this number will only continue to rise as members of the baby boomer generation continue to join the 65-and-over demographic.1
Medicare Advantage enrollment is also on the rise. In fact, more than 26 million Americans or more than one out of every three people with Medicare are enrolled in a Medicare Advantage plan.2
A Medicare Advantage plan offers the same coverage as Medicare Part A and Part B, and some Medicare Advantage plans may also offer benefits such as vision, hearing and dental coverage. Some plans may also cover prescription drugs.
Medicare Advantage plans are offered by private insurance companies. Plan availability varies from state to state.
Why Are Healthcare Premiums Set By County
Healthcare premiums are typically set by county to account for a few different geographic factors: The general cost of doing business in an area. Rent as well as wages are higher in urban areas than rural areas, for example, which necessitates higher payments to providers to allow them to operate at a profit.
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What Should I Watch For With The Part B Give Back Benefit
Its always a good idea to compare all the costs and benefits of any Medicare plan you are considering. Think of premium reduction as just another extra benefit available with Medicare Advantage.
When an insurance company decides which extra benefits to offer each year, it has to weigh costs and make choices. So an insurer may drop one extra benefit, such as vision or hearing, to offer the premium reduction benefit. Anecdotal evidence suggests this might be the case.
Some data suggest that extra benefits such as dental care, meal delivery, and transportation arent as common among give back plans. You may have to give up one extra benefit youve enjoyed in the past to get the premium reduction benefit with a different plan.
Remember that the give back amount is just one cost to consider when you compare Medicare plans. Pay attention to your annual deductibles, copays, and other cost-sharing amounts. Suppose you get a $40 monthly premium credit with one plan but the annual deductible is $500 more than a similar plan. In that case, you may actually pay more for your healthcare even though your premium is lower.
Also, keep in mind that these plans arent available in every ZIP code, and not every insurance company offers them. So you may not have a giveback option in your area yet.
That said, these plans are currently available in over 2,800 counties across the US, so if you dont have access to one now, chances are good you will soon.
What Are Medicare Advantage Part B Buy Back Plans
Medicare Advantage plans are additions to your existing Medicare coverage. They can vary greatly in coverage amounts and premium prices. Some Medicare Advantage plans can come with a $0 premium or a low premium in addition to a Part B buy back .
If you pay your Part B premium automatically out of your Social Security check, this could feel like a bonus added to your monthly checks! Youll start seeing a bit more coming in, which is nice, assuming the plan you choose has the buy back option.
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How Much Will I Save With A Give Back Plan
The premium reduction amount varies widely depending on the plan you choose and where you live. Some giveback plans give back as little as $0.10 each month while others pay the full Part B premium.
Theres no standard giveback benefit set by Medicare, so its important to read each plans information carefully before you enroll.
Keep in mind that the giveback benefit isnt guaranteed year after year. Medicare Advantage plans change their premiums and benefits all the time. Its possible the $100 reduction youve grown used to this year will be reduced to $50 or less next year.
Watch for your plans Annual Notice of Change each fall to see whether the give back benefit will continue the following year and how much it will be. If your benefits change, youll be able to shop for one that better suits your needs and budget during the Annual Election Period.
How Do I Qualify For The Giveback
You may qualify for a premium reduction if you:
- Are enrolled in Part A and Part B
- Do not rely on government or other assistance for your Part B premium
- Live in the zip code service area of a plan that offers this program
- Enroll in an MA plan that provides a giveback benefit
Because not all plans offer this benefit, it’s important to do your research and compare plans, benefits, and costs to ensure you’re making the best decision for you.
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How To Get A Medicare Part B Give Back Plan
Its important to compare Medicare Advantage and Medigap plans before enrolling in either option. Many beneficiaries are unaware of the many limitations that come with Medicare Advantage plans, so a Medicare Part B premium reduction may not be worth the additional cost-sharing for some. It is essential to fully understand your policy limitations before deciding on a plan.
If you want to keep Original Medicare but wish to save money on monthly premiums, you should consider the High Deductible Plan G or High Deductible Plan F Medigap options. Another comprehensive yet affordable Medigap option is Plan N. .
Whichever route you decide to go, speaking with a licensed agent is always helpful when comparing benefits. To see what Medicare Advantage options are available in your area, enter your ZIP Code in this portal.
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Is There A Medicare Part B Premium Giveback In My Area
In 2022, over 2,800 counties include at least one Medicare Advantage plan with a Part B premium Giveback – or about 14,000 unique plan/county combinations of different Medicare Advantage plans – 2022 Part B give-backs can range up to $148.50 or mor. https://q1medicare.com/q1group/MedicareAdvantagePartDQA/FAQ.php?faq=Do-any-Medicare
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Give Back: Its Like Getting A Monthly Rebate
If you pay a Medicare Part B premium, we may pay part of that premium for you. We call this a Part B premium Give Back, or a Part B premium-reduction benefit. Its like getting a raise on your Social Security check. The reduction is administered through the Social Security Administration, and depending on how you pay the Part B premium, the reduction will show as an increase in your Social Security check or a credit on your Part B premium statement.
Do Medicare Benefits Vary By State
Original Medicare is the only coverage that does not vary by state. Medigap, Medicare Advantage and Part D prescription drug plans are all sold privately and vary by state. Larger states typically have more plan options available than less populated states. Medigap plans offer the same benefits across most states.
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Where Is The Part B Giveback Offered
The commercials for Medicare Advantage giveback rebates are aired nationwide, but plans that offer this benefit are not available in all areas. And even if youre in an area where this benefit is offered by at least one Advantage plan, its likely that the majority of the available plans will not offer it.
Assuming there are Medicare Advantage plans in your area that offer a giveback rebate, its important to evaluate all of the available plans based on how theyll serve your overall needs. If a plan has a $50 giveback rebate but will end up costing you an extra $60 every month at the pharmacy, or doesnt include your doctors in its network, its probably not going to be your best option.
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What Is Medicare Part C
Original Medicare is made up of Medicare Part A and Part B . Medicare Part C plans are all-in-one alternative healthcare options to Original Medicare and include the same benefits as Medicare Part A and Part B plus additional coverage.
When you enroll in a Medicare Part C plan, the company you enroll with becomes your primary source of health insurance.
Medicare Part C coverage must at least match Original Medicare coverage. However, since there are several Medicare Part C plan types, costs for enrollees can vary widely.
What Is Medicare Part B Premium Giveback
As we mentioned, the Medicare Part B Premium Giveback is a program in place to help you receive some money back on your Part B premium. The program is for Medicare Part C plans, also called Medicare Advantage plans, which are offered by private insurance companies but still approved and regulated by the Centers for Medicare & Medicaid Services …
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Got Questions About The Medicare Giveback Benefit Here Are Some Answers
Can you really get a Medicare giveback from a Medicare Advantage plan?
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A friend forwarded me an ad he saw online. The headline read, Seniors over 65 are getting huge benefits this year. See if you qualify for $144 a month. How can I get this? he wondered.
Another friend asked whether I saw the commercials for the Medicare giveback benefit of up to $144. How could I miss them? I replied.
Lets tackle some questions about the Medicare giveback benefit.
What is the giveback benefit?
The giveback benefit is officially the Part B premium reduction.
This benefit is making a big splash this year, but it first appeared in 2003. A Federal regulation allowed Medicare+Choice plans to receive a reduction in its payments, which in turn helps to fund the giveback.
How do I qualify for the giveback?
The first time I heard about this offer, I wondered whether there might be income-related criteria. In other words, did the persons income have to be below a certain level? But that is not the case. To qualify for a premium reduction, you must:
- Be a Medicare beneficiary enrolled in Part A and Part B,
- Be responsible for paying the Part B premium, and
- Live in a service area of a plan that has chosen to participate in this program.
How many plans provide this benefit?
Thats a good question. You qualify once you enroll in a plan but there are not that many plans participating.
Can I get the premium reduction with other benefits?
Does the plan send me a check?
Any words of wisdom?
Its Important To Know Your Options
If youd like to participate in the Medicare Give Back program, but you currently arent enrolled in a Medicare Advantage plan, or youre enrolled in an Advantage plan that doesnt participate, always remember that you have options. There are numerous Medicare Give Back benefit zip codes out there, and yours may be one of them.
To see if Medicare Advantage plans in your area offer the benefit, search for the Medicare Give Back benefit by zip code today. You may find a qualifying plan that works for you!
Find a Medicare Advantage plan in your area that works for you. Call us today at to speak with one of our licensed agents.
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Applying For A Medicare Part B Give Back Benefit
So, what is the enrollment process for the Give Back benefit? Many people are looking to save as much money as possible when it comes to their health care costs, so they want to know how to get signed up for this program. The process is quite simple, so here is how to do it. First, you need to find a Medicare Advantage plan in your area that offers this benefit. You can use the Medicare plan finder tool at Medicare.gov to help you with this process. You can also speak with a licensed insurance agent in your local area who can help you find the best Medicare Advantage plans in your area to fit your needs.
Once you find an available plan that provides the Medicare coverage you need, you should check the plan details to determine what the plan offers when it comes to the Give Back benefit. You should be able to find this information in the plan details. Take a look at the Evidence of Coverage section or the Summary of Benefits. Search for the Premiums section and look for a Part B Premium Reduction line item. This will give you more information on the premium buy-down as it will tell you how much of your Part B premium the plan will pay.
What Is The Medicare Part B Giveback
If you choose to enroll in a Medicare Advantage plan, you pay the premium for Part B plus the premium for the Advantage plan. Well over half of all Advantage plans have $0 premiums, which means their enrollees just pay the Part B premium.
But some of those plans go a step further, offering giveback rebates that pay a portion of their enrollees Part B premiums. This benefit, also referred to as a Medicare Part B premium reduction, has been available since 2003. And although most Advantage plans do not offer a giveback rebate, the benefit has become more popular and widespread in recent years, and is increasingly marketed as a stand-out benefit by Medicare Advantage plans that do offer it.
Are There Any Concerns With The Part B Give Back
Weve been helping our clients understand their Medicare choices for over two decades. One plan does not fit all. The mistake consumers sometimes make is enrolling in a plan based on cost only. The benefits and network availability must also be considered.
While its tempting to choose a plan with a large giveback benefit, it might be unsuitable if your doctors or hospitals are not in their network. And you should also make certain any Advantage plan covers your most important prescriptions. Especially if you take anything expensive or on a higher Tier.
Also, you want to be sure youre comfortable with Medicare Advantage plans in general. Some people prefer the flexibility of a Medicare Supplement. And switching back and forth between the two is not guaranteed. There are many variables to consider when choosing a supplemental policy.
How Can I Find A Medicare Advantage Giveback Plan In My Area
The Boomer Benefits team uses a comprehensive comparison tool to see if a buyback plan is available in your area. As you may have figured out, Medicare is not an easy task to take on, but dont get discouraged, we speak Medicare and can help you navigate through it! Talk to a Medicare expert on our team today to see what plan is right for you.