What is Insurance?
Insurance is an economic device transferring risk from an individual to a company and reducing the uncertainty of risk via pooling.
What is a Deductible?
A deductible is the portion of the insured loss (in dollars) paid by the policy holder.
What is a Premium?
A premium is an amount to be paid for an insurance policy.
What is Whole Life Insurance?
Whole life is a type of life insurance contract that provides for insurance coverage of the contract holder for his/her entire life.
What is Term Life Insurance?
Term life is life insurance that pays a benefit in the event of the death of the insured during a specified term (such as 10, 15, 20, 25, 30 years).
What is Universal Life Insurance?
Universal life insurance is a type of permanent insurance that offers flexible premiums and a flexible death benefit. It is a combination of term life insurance and a tax-deferred savings plan paying a variable rate.
What is a Medicare Advantage Plan (Medicare Part C)?
A Medicare Advantage Plan is offered by private companies approved by Medicare. Medicare pays these companies to cover your medical benefits. If you join a Medicare Advantage Plan, the plan will provide all of your Medicare Part A (hospital insurance) and Medicare Part B (medical insurance) coverage.
Is there a monthly premium for a Medicare Advantage Plan?
In most cases, depending on where you live, there is no premium. However, you must be enrolled in Medicare Part B and pay those premiums to Medicare.
What do Medicare Advantage Plans cover?
Medicare Advantage Plans must cover all of the services that Original Medicare covers except for hospice care. Original Medicare covers hospice care even if you are enrolled in a Medicare Advantage Plan. In all types of Medicare Advantage Plans, you are covered for urgent care and emergencies. They must offer emergency coverage outside of the plan's service area (except outside of the United States). Many plans offer extra benefits such as dental care, eyeglasses and wellcare programs. Most Medicare Advantage Plans include a Prescription Drug Plan.
What is a Medicare Supplement Plan or a Medigap Plan?
Original Medicare pays for many, but not all, health care services and supplies. A Medigap policy is run by private insurance companies and the policy helps supplement the gaps in Original Medicare. If you have Original Medicare and a Medigap policy, Medicare will pay its share of Medicare-approved services for covered health care costs and then your Medigap policy will pay its share. With a Medigap policy, you can go to any doctor or facility that accepts Medicare in the United States.
Is there a monthly premium for a Prescription Drug Plan (Medicare Part D)?
Yes, a premium is required for Prescription Drug Plans. Depending on the drug, you may have a copay associated with your prescription when purchased at your pharmacy.
Why would I want to pay for a Medicare Supplement Plan and Part D Prescription Drug Coverage if I can get a Medicare Advantage Plan for zero premium?
With a Medicare Advantage Plan, you are limited to a network of doctors and hospitals. In addition, you must pay for services when received. The cost associated with a major illness could be more than the total costs associated with a Medicare Supplement Plan and Part D Prescription Drug Plan.
How much is the premium for Medicare Part B?
For 2024, the standard premium for Part B is $174.70 per month if your income filing individually is $103,000 or less or $206,000 filing jointly. The higher your income, the higher the premium.
What is a Health Savings Account?
A Health Savings Account (HSA) is an account created for individuals who are covered under high deductible health plans (HDHPs) to save for medical expenses that HDHPs do not cover. Contributions are made into the account by the individual or the individual's employer and are limited to a maximum amount each year. The contributions are invested over time and can be used to pay for qualified medical expenses, which includes most medical care such as dental, vision, and over-the-counter drugs.
What is the contribution limit for a Health Savings Account?
For 2024, the contribution limit for an individual is $4,150 and for a family is $8,300. If you are 55 years of age or older, you are allowed to add an extra $1,000 to the contribution limit.
Insurance is an economic device transferring risk from an individual to a company and reducing the uncertainty of risk via pooling.
What is a Deductible?
A deductible is the portion of the insured loss (in dollars) paid by the policy holder.
What is a Premium?
A premium is an amount to be paid for an insurance policy.
What is Whole Life Insurance?
Whole life is a type of life insurance contract that provides for insurance coverage of the contract holder for his/her entire life.
What is Term Life Insurance?
Term life is life insurance that pays a benefit in the event of the death of the insured during a specified term (such as 10, 15, 20, 25, 30 years).
What is Universal Life Insurance?
Universal life insurance is a type of permanent insurance that offers flexible premiums and a flexible death benefit. It is a combination of term life insurance and a tax-deferred savings plan paying a variable rate.
What is a Medicare Advantage Plan (Medicare Part C)?
A Medicare Advantage Plan is offered by private companies approved by Medicare. Medicare pays these companies to cover your medical benefits. If you join a Medicare Advantage Plan, the plan will provide all of your Medicare Part A (hospital insurance) and Medicare Part B (medical insurance) coverage.
Is there a monthly premium for a Medicare Advantage Plan?
In most cases, depending on where you live, there is no premium. However, you must be enrolled in Medicare Part B and pay those premiums to Medicare.
What do Medicare Advantage Plans cover?
Medicare Advantage Plans must cover all of the services that Original Medicare covers except for hospice care. Original Medicare covers hospice care even if you are enrolled in a Medicare Advantage Plan. In all types of Medicare Advantage Plans, you are covered for urgent care and emergencies. They must offer emergency coverage outside of the plan's service area (except outside of the United States). Many plans offer extra benefits such as dental care, eyeglasses and wellcare programs. Most Medicare Advantage Plans include a Prescription Drug Plan.
What is a Medicare Supplement Plan or a Medigap Plan?
Original Medicare pays for many, but not all, health care services and supplies. A Medigap policy is run by private insurance companies and the policy helps supplement the gaps in Original Medicare. If you have Original Medicare and a Medigap policy, Medicare will pay its share of Medicare-approved services for covered health care costs and then your Medigap policy will pay its share. With a Medigap policy, you can go to any doctor or facility that accepts Medicare in the United States.
Is there a monthly premium for a Prescription Drug Plan (Medicare Part D)?
Yes, a premium is required for Prescription Drug Plans. Depending on the drug, you may have a copay associated with your prescription when purchased at your pharmacy.
Why would I want to pay for a Medicare Supplement Plan and Part D Prescription Drug Coverage if I can get a Medicare Advantage Plan for zero premium?
With a Medicare Advantage Plan, you are limited to a network of doctors and hospitals. In addition, you must pay for services when received. The cost associated with a major illness could be more than the total costs associated with a Medicare Supplement Plan and Part D Prescription Drug Plan.
How much is the premium for Medicare Part B?
For 2024, the standard premium for Part B is $174.70 per month if your income filing individually is $103,000 or less or $206,000 filing jointly. The higher your income, the higher the premium.
What is a Health Savings Account?
A Health Savings Account (HSA) is an account created for individuals who are covered under high deductible health plans (HDHPs) to save for medical expenses that HDHPs do not cover. Contributions are made into the account by the individual or the individual's employer and are limited to a maximum amount each year. The contributions are invested over time and can be used to pay for qualified medical expenses, which includes most medical care such as dental, vision, and over-the-counter drugs.
What is the contribution limit for a Health Savings Account?
For 2024, the contribution limit for an individual is $4,150 and for a family is $8,300. If you are 55 years of age or older, you are allowed to add an extra $1,000 to the contribution limit.