If you’ve been hearing about various ways to improve your healthcare benefits once you are eligible for Medicare, you might have heard about the Medicare Part B Give Back Plan.
Medicare has gotten expensive with the rise in Medicare B premium costs rising in each year.
As of 2023, the premium has gone up to $164.90, which is prohibitive for many retirees on a tight budget. If this sounds familiar, you might want to look into the Give Back Plan.
The Medicare Give Back Benefit
The Medicare Give Back Benefit is a Medicare Advantage Plan with a premium reduction benefit.
Where the Medicare Advantage Plan offers you an alternative healthcare plan to that of Medicare but is still covered by Medicare itself, you must pay your premium every month, the full $169.40, and sometimes more if you opt for a more expensive plan.
The Medicare Give Back Benefit not only ensures you will not pay more than your monthly premium, but you can sometimes save a lot of money, depending on the plan you choose.
How It Works
The biggest thing to remember is that the Medicare Give Back Plan is offered by local health insurers based on your zip code. Not all areas are eligible, but as of now more than 2,800 counties in the US are served, and that number is growing.
If your area does offer the Give Back Benefit, you will have to be enrolled in both Medicare Part A and Medicare Part B. Then, you get to choose your plan from your local provider and utilize all of their services, all of which will be covered by your Medicare coverage.
You can often save money because some providers offer very low premiums for various reasons, and those lowered prices are passed on to you in the form of a Medicare credit. So while you would normally pay the full $169.40, if you find a Give Back Plan you like that has a lower premium, your monthly payment will be automatically lowered as the provider works directly with Medicare and Social Security.
For example, if you find a plan with a $100 Give Back amount, your monthly Medicare premium will drop to $69.40 ($169.40 – $100 premium reduction of Part B = $69.40).
And the nice thing about the plan is you do not have to qualify by income. You simply need to be enrolled in Medicare Part A and Medicare Part B and live in a zip code where the plan is offered. Note however that if you receive Medicaid or other income assistance, you are not eligible for a Give Back plan.
Zero-Premium Vs. Give Back
Now, if you are familiar with the Medicare Advantage Zero Premium plans, you may be wondering how Give Back is different.
Well, Zero Premium plans do not get you out of paying your monthly Medicare Part B premium, nor do they reduce your premium. They simply offer you more coverage at no extra expense. So “zero-premium” is a bit of a misnomer.
With the Give Back plan, the insurance provider you choose pays part of your Medicare premium for you, so you have the potential of getting more complete coverage and getting a reduction in your premium.
Having said that, even if you do find your area offers a Give Back Plan, and you find one you like, your savings may not be that aforementioned $100 since it varies by zip code and county.
Further, the Give Back plan costs change each year, so that $100 you save this year may be reduced to $50 next year, or less.
Of course, you can simply shop around during open enrollment each year and look for another Give Back plan that can potentially save you more.
Food for Thought
It is important to be mindful when choosing a Medicare Advantage Plan, including the Give Back Plan, that you are making decisions about trade-offs.
While you may save a lot of money on your monthly premium under one Give Back Plan, that plan may not offer a service you are used to having like meal delivery or transportation services.
It is thus critical that Medicare recipients pay close attention to all the benefits and drawbacks of each plan, not the least of which are out-of-pocket costs, which may be another trader off.
Some plans may offer a reduction in your monthly premium, but demand higher copays or annual deductibles than your original plan, so you may ultimately find yourself paying much more by the end of the year.
Contact Coverage 2 Care Today
Fortunately, you don’t have to figure it all out on your own.
Coverage 2 Care has Medicare specialists eager to help you decide which plan is right for you and your needs.
We have tools in place to help you compare and contrast all of your options and help you figure out if your area currently offers a Give Back Benefit.
Contact us today so you get the best plan for you!