First, here are four important points about Medicare Advantage plans:
(1) A Medicare Advantage plan includes your Medicare Part A (in-patient and hospitalization coverage), Medicare Part B (out-patient and physician coverage), and may include prescription drug coverage (MAPD) or can be offered without drug coverage (MA).
(2) A Medicare Advantage plan may include supplemental healthcare benefits such as vision, dental, or fitness coverage. A Medicare Advantage plan may also include non-health related benefits such as meal delivery and non-health related transportation.
(3) You cannot add a stand-alone Medicare Part D plan (PDP) if you are enrolled in a Medicare Advantage (MA) plan -- unless your Medicare Advantage plan is a PFFS or MSA plan.
(4) A Medicare Advantage plan is not a Medicare Supplement (Medigap plan) and cannot be used with a Medicare Supplement.
Highlights of the 2020 Medicare Advantage plan landscape
- The
total number of 2020 Medicare Advantage plans will increase.
Across the country, there will be 15% more Medicare Advantage plans offered in 2020 – with 4,047 Medicare Advantage plans (MAs and MAPDs) available, as compared to 3,431 Medicare Advantage plans offered in 2019. You can click here to read more about the number (and type) of 2020 Medicare Advantage plans.
- Most
2020 Medicare Advantage plans will offer prescription drug coverage (MAPDs).
As in past years, around 92% of 2020 Medicare Advantage plans will include prescription drug coverage. You can click here to read more about the annual changes in the number of Medicare Advantage plans offering prescription drug coverage.
- Most
Medicare Advantage plans are HMOs.
The majority (around 69%) of 2020 Medicare Advantage plans will be Local HMOs (Health Maintenance Organizations). However, there will be a 19% increase in 2020 Local PPO (Preferred Provider Organization) Medicare Advantage plans. You can click here to read more about the different types of 2020 Medicare Advantage plans.
- Even
with more Medicare Advantage plans offered in 2020, many counties will see
significant changes in their Medicare Advantage plan landscape.
When viewed in detail, many 2019 Medicare Advantage plans will be terminated in 2020 or merged into other 2020 plans. As an example, Miami-Dade County, FL will lose 17 of the 82 Medicare Advantage plans that are currently offered in 2019, however 14 new 2020 Medicare Advantage plans will be introduced. You can see more 2020 Medicare plan changes using our 2019/2020 Medicare Advantage plan compare tool: MA-Compare.com/2020. You can click here to read more about changes in Medicare Advantage plan availability across the country.
- 2020 Medicare Medical Savings Accounts (MSAs)
will be more widely available.
In 2020, Medicare Medical Savings Accounts (MSAs) will be available in 29 states (1,883 counties) across the country. In 2019, MSAs were available to Medicare beneficiaries in only 1,262 counties across 19 states. Unlike other Medicare Advantage plans, MSAs are made up of a high-deductible health plan and a medical savings account funded by an annual tax-free deposit. MSA members can use the medical savings account to pay for healthcare costs before the health plan deductible is met. MSA members can enroll in any available stand-alone Medicare Part D plan (PDP) for their drug coverage.
- Monthly
2020 Medicare Advantage plan premiums will remain low.
As in past years, close to 79% of all 2020 Medicare Advantage plans will have a monthly premium under $50, with around 43% of the 2020 Medicare Advantage plans having a $0 premium. You can click here to read more about changes in Medicare Advantage plan premiums and see a chart of how plan premiums have changed since 2014.
- More
2020 Medicare Advantage Special Needs Plans (SNPs).
Although about 13% of the 2019 Medicare Advantage Special Needs Plans (SNPs) will be discontinued in 2020, plan losses will be offset by the introduction of new SNPs, resulting in a 19% increase in the total number of 2020 SNPs. The vast majority of SNPs remains Dual-Eligible (D-SNPs) (63%). You can click here to learn more about 2020 Medicare Advantage Special Needs Plans and how the SNP landscape has changed since 2014.
- More
2020 MAPDs have a
$0 premium and $0 drug deductible ($0/$0).
Twenty-six percent (26%) of all 2020 Medicare Advantage plans will include prescription drug coverage with a $0 premium and $0 drug coverage deductible (up from 21% in 2019). You can click here to read more about the 2020 $0/$0 Medicare Advantage plans with prescription drug coverage (MAPDs).
- The Donut Hole will close in
2020.
All MAPD plans will honor the 2020 Donut Hole discount that will increase to 75% for all formulary medications purchased while in the Donut Hole. You pay 25% of your plan’s retail drug price for both brand-name and generic formulary medications.
- Slightly more 2020 MAPDs will offer additional Donut
Hole coverage.
Forty percent (40%) of MAPD plans will offer some level of additional drug coverage should you reach the 2020 Donut Hole -- as compared to 38% of MAPDs in 2019. For brand-name drug purchases, this gap coverage is in addition to the brand-name drug manufacturers Donut Hole discount.
- Slightly
more 2020 Medicare Advantage plans will offer a lower Medicare Part A and
Part B Maximum Out-of-Pocket (MOOP)
Limit.
The number of Medicare Advantage plans having the statutory maximum MOOP of $6,700 will decrease to 31% of all 2020 Medicare Advantage plans (down from 34% in 2019). The number of MAs with a MOOP under $3,400 will increase to 24% of all 2020 Medicare Advantage plans as compared to 23% in 2019. You can click here to learn more about the Maximum Out-of-Pocket Limits for 2020 Medicare Advantage plans and how MOOPs have changed since 2014.
To get you started with your review of 2020 Medicare Advantage plans available in your area, just click on your state and then click on your county name: MA-Finder) to review plans in your area -- found directly at: MA-Finder.com/2020 . The MA-Finder currently displays the plan premium, prescription deductible, Gap or Donut Hole coverage availability, and Medicare Part A and Part B Maximum Out-of-Pocket limit (MOOP). The 2020 Medicare plan drug tier cost-sharing, health coverage information, formulary information, and star ratings are coming soon.
You can use our 2019/2020 MA-Compare tool to see how your 2019 Medicare Advantage plan is changing in 2020. Our Medicare Advantage comparison tool can be found directly at: MA-Compare.com/2020.
... and a few reminders...
Reminder #1: No need to rush.
The annual Open Enrollment Period (AEP) for 2020 Medicare Part D plans and Medicare Advantage plans begins on October 15th and continues through December 7th, with 2020 Medicare plan coverage beginning on January 1, 2020. For more information, Medicare beneficiaries can telephone Medicare at 1-800-633-4227 to speak with a Medicare representative.
Reminder #2: Some Extra Help recipients may need to act to keep their 2020 Extra Help status.
The CMS, SSA, and Medicare plan mailings schedule is online and includes notices for people who need to submit information to keep their 2020 Extra Help status. So be sure to review anything you receive from Medicare or the Social Security Administration as some Medicare Part D Extra Help recipients will need to act or risk losing their Medicare Part D Extra Help or Low-income Subsidy (LIS) in 2020. Please click here to read more about the LIS mailings. When in doubt, contact your local Medicaid office for more information or call Medicare at 1-800-633-4227.