Medicare Answers: PPACA and Standard Medicare Supplement Plans

  • Originally published May 29, 2013 , last updated December 23, 2014
  • Medicare
Medicare Answers: PPACA and Standard Medicare Supplement Plans

If you have a Medicare question you’d like answered, email it to AskRoger@SeniorMarketSales.com.

This week’s question deals with the PPACA and the effect it has on the purchase of a standard Medicare Supplement plan.

James asks,

In 2014, what effect, if any, will the PPACA have on the Medicare eligible person who would like to purchase a standard Medicare Supplement plan but cannot satisfy the medical underwriting?

James,

I think the article, Effects of Affordable Care Act Coming to Medicare Agents, has drawn several comments and James thanks for the additional question.

As National Healthcare is new to all of us, I have found an easy way to remember this and I hope it helps you. The Affordable Care Act is National Medical Insurance for those under 65 and Medicare is National Medical Insurance for those over age 65 and those under disability for Social Security.

Those eligible for ACA would be under age 65 and, therefore, would not be an eligible for Medicare. Medicare Supplement only supplements Medicare and does not fall under the same underwriting rules.

Both ACA and Medicare do not require underwriting. People have to have Medicare to qualify for Medicare Supplement, which does require underwriting except for open enrollment and some guaranteed issue situations.

ACA did have some provisions that dealt with Medicare and AARP has an excellent website that does a great job of explaining these, as well as this article titled, “The Health Care Law: What it Means for People 65+.”

Thank You,

Roger