Medicare supplement (“Medigap”) policies E, H, I, and J will be discontinued in June. Existing policyholders will be able to retain their policies as long as the insurer continues to offer them. Some seniors may decide to keep policies H, I, and J, which offered some prescription drug coverage.
The catch? After these policies no longer are sold, many policyholders will die or discontinue coverage. Those remaining will get older and probably will need more care, so the insurance companies may raise prices. A similar situation faces seniors who bought Medigap policies before 1992, when they were standardized.
If you have Medigap policies E, H, I, or J, you may want to shop around for new coverage. The same is true if you have a Medigap policy you bought before 1992.
For prescription drug coverage, you can buy a Medicare Part D plan. Your pharmacist will know the medications you take and may be able to suggest a suitable Part D plan. Otherwise, go to www.medicare.gov and click on “Medicare Prescription Drug Plan Finder” to find a suitable Part D plan in your area.
If you are carrying FEHB coverage in retirement, however, you may not need either Medigap, since FEHB acts in a similar fashion, or Plan D, since FEHB provides prescription drug coverage.