Are you ready? It is time to choose your Medicare plan for 2008.

The enrollment period for making changes to your 2008 Medicare plan is November 15 to December 31. Failing to make changes during this time period, could cause you to be locked into your current plan until March 31, 2009. During the enrollment period, you will have the opportunity to choose between the Original Medicare—the traditional fee-for-service program run by the federal government—and several Medicare private health plans that have low premiums or offer special benefits. According to an announcement made by Health and Human Services Secretary Mike Leavitt, beneficiaries in every state will have access to at least one prescription drug plan with premiums of less than $20 a month, and a choice of at least five plans with premiums of less than $25 a month.
Many of the private health plans offered under the Medicare Advantage Program have low premiums or offer special benefits. These plans are required to cover at least the same inpatient (Part A) and outpatient (Part B) services covered by Original Medicare. Some private health plans also offer additional benefits, like dental or vision care, that Original Medicare does not cover. Moreover, Medicare prescription drug coverage (Part D) is included in most of these benefits packages. So many decisions, so little time! There is so much to consider when choosing how to get your Medicare health coverage.

The Medicare Rights Center offers the following guidelines for people planning to join private health plans.
Make sure you can use the doctors, specialists and hospitals that you prefer.
Make sure you can afford a plan before you join it. Prices and options vary widely.
Understand the private provider’s rules in advance. You will be required to follow them

To read more about how to choose a Medicare health plan, Medicare prescription drug coverage, and supplemental coverage, including Medigap plans and Medicare Savings Programs, log on to the Medicare Rights Center website at http://www.medicarerights.org/help. html.

Before you begin your trek through the Medicare jungle you should understand the following basic Medicare related terms.


Formulary
o A list of drugs that a company or plan decides it will carry. If a drug is “off-formulary,” generally your doctor has to make a special plea to use it and has to have a good reason. You also might have to pay more for it.

Premium
o A monthly payment for insurance.

Medicare Advantage
o Managed-care plans, such as an HMO. Medicare Part C. The plans may provide more services than traditional Medicare, but may limit members to certain doctors and hospitals.

Deductible
o What a Medicare member pays before drug coverage kicks in. Can be zero to $250 a year.

Step therapy
o Step therapy means a patient must try a lower-cost, often generic, product first. If it isn’t effective, the patient then “steps” to a different, often more expensive, drug.

Quantity limits
o Limits on the quantity of a drug a pharmacist can dispense each month.

Co-Payment (Co-Pay, Co-Insurance)
o Amount you pay to get a drug after you’ve paid your deductible. Some plans have one flat rate; others have different rates based on the type of drug.

Happy Hunting!