Whether you’re traveling the globe, trying out some new hobbies, or simply appreciating your newfound free time, there is so much enjoyment that comes along with retirement. Though, in order to truly take advantage of your time, it’s crucial that you find the ideal health coverage to ensure that your retirement is as secure and enjoyable as possible. One such way to do this is by obtaining a group health Medicare plan.
Group Health Medicare plans are employer-sponsored and offered to former employees, just like how they offer insurance plans to current employees. They are also referred to as Group Medicare Advantage plans or employer group waiver plans (EGWP). These plans combine the benefits of Original Medicare, with additional perks that Medicare doesn’t traditionally cover, such as wellness classes, travel coverage, dental, and hearing aid coverage.
Continue reading to learn more about group health Medicare coverage, the benefits that these plans may offer you and your family, and additional things to be aware of before signing up.
If you are recently retired or planning for your upcoming retirement, group health Medicare coverage is one of your many options. The most common form of group Medicare is known as Group Medicare Advantage, or employer group waiver plan (EGWP). Insurance experts refer to them as “egg-whips.”
Group Medicare Advantage plans are a type of insurance coverage that is offered to retirees by employers or unions. These plans are provided and managed by private insurance companies. With EGWPs, Medicare pays the private insurance company a set amount to issue benefits to retirees. The employer also generally pays the insurance company an extra amount in order to provide additional benefits.
When you’re enrolled in a Medicare Advantage plan, all the benefits under original Medicare is provided, including hospital and medical insurance coverage. Though, most plans come with a number of other health-related services, such as dental, vision, health and fitness programs, travel coverage, and more.
To be eligible for a group health Medicare plan, you have to be retired, enrolled in Medicare Parts A and B, and satisfy any additional requirements established by your company. These additional requirements may relate to your length of service or status, but will vary from company to company.
The best way to know if you’re eligible for a group Medicare plan is to speak with your employer. Fortunately, if you do not qualify for a group plan, there are a number of individual Medicare plans available that can give you the level of coverage and care that you need in your retirement.
Group health Medicare, or Medicare Advantage, plans provide the same coverage as Medicare parts A, B, and D, which includes both hospital and medical insurance coverage, as well as additional health care. Depending on the plan that you enroll in, the following services may also be covered:
Most companies will also issue a variety of health-related perks under their Group Health Medicare plans. These may include such advantages as meal delivery, medical transport, gym memberships, travel coverage, and more.
Based on your needs, there are numerous different types of group health Medicare plans that you can choose from. These include:
According to the Kaiser Family Foundation (KFF), nearly 76 percent of Medicare Advantage health plans are PPOs.
One of the main advantages to Group Health Medicare Coverage is that plans generally offer members services that go beyond conventional Medicare Advantage plans, including:
Medicare also permits special waivers to insurance companies and their Group Medicare plans, which apply to service areas, premiums, and enrollment periods. All of these waivers provide major advantages to you as a retiree.
The premium that you pay for Group Health Medicare coverage will vary based on how much your employer subsidizes the Medicare costs. It will also vary based on where you live and the plan that you choose.
While Medicare premiums are notoriously low, you will typically have a number of out-of-pocket costs that you will be responsible for. Though, there is usually an annual cap on most out-of-pocket expenses that help keep your overall costs relatively low.
Additional out-of-pocket expenses may include:
The specific Group Health Medicare plan that you select will determine if you have to pay any of these out-of-pocket costs and if so, how much they will be.
Group Health Medicare plans can be an appealing advantage to you as a retiree. In some cases, by enrolling in your company’s plan, you may receive additional benefits that don’t come with conventional Medicare Advantage plans. Plus, you won’t have to worry about following the same rules regarding enrollment periods.
If your employer (or former employer) offers you Group Health Medicare coverage, consider the following before choosing a plan:
Since Group Health Medicare plans are customized according to the business, government entity, or union, you’ll likely be able to do the majority of your research by speaking with your company’s benefits office or the insurance company directly.
Have more questions about group health Medicare coverage? You’ve come to the right place. Whether you’re an employer looking for the ideal group Medicare benefits package for your employees or you’re a retiree trying to understand your options, the team at Taylor Benefits Insurance Agency can help.
So, what are you waiting for? Don’t hesitate – contact us now to get started.
We’re ready to help! Call today: 800-903-6066