Recent premium increase for United Healthcare coverages

[jphorenci]

I am absolutely appalled at the just announced price increases for United Healthcare coverage. The increase in RX (over 90%) announced during the last open enrollment was enough force me to make a change and now the supplemental health coverage increase (22%) is astounding. As their primary selling agent, you should anticipate my changing to another, more affordable carrier at my first opportunity and hopefully a boatload of others doing the same. Shameful, unjustified, heartless, and ridiculous. Shame on both you and United Healthcare.  

[kasyy]

Same here - I am looking into another company that may sell me a policy at issue age - so I don;t ever have to deal with this again - shame on AARP for allowing this and selling it to the seniors they are "protecting".  Looking at Physicians Mututal plan G if they will sell it to me.

[maeella9]

II am in total agreement with these comments.  I do not understand how an organization such as AARP who is supposed to be the voice of seniors, will allow this company to continue to advertise their health insurance as a benefit to seniors.  These rate increases are outrageous!  How are we supposed to pay for living expenses, food, medicine, gasoline, other insurances, etc. when this company continues to raise its premiums every single doggone year???? And they aren't small increases, either.  Shame on you, AARP!  I am going to have to shop around and see where I can get a cheaper supplemental that my doctors will accept! 

[GailL1]

@maeella9 wrote . . . . . 

“  I am going to have to shop around and see where I can get a cheaper supplemental that my doctors will accept! “

====================================

Your doctor does NOT have to accept  any particular MediGAP plan (Medicare Supplemental Insurance) - they only have to accept Medicare because you MediGAP plan of whatever letter ONLY picks up the share of the cost which Medicare does not cover.

MediGAP insurance is not health insurance - it makes NO decisions on  your medicare care.  MediGAP insurance is a financial protection product which covers some or all or your medical liability which Original Medicare does not cover.

Because of the product, the rating method used and who it insures - yes, your MediGAP policy will go up in premium cost sometimes a little and sometimes a lot. 

As Medicare coverage might expand in costly treatments and test - your premiums will go up - an example of this is the new Alzheimer’s treatment and required testing - all under Part B.  Or a new expensive infused chemotherapy to treat cancer - Part B.  

So the more we use Original Medicare, your MediGap premiums can go up. 

Original Medicare and a very inclusive MediGAP plan  like Plan G is the cadillac of coverage - especially since there is NO maximum out of pocket limit to Original Medicare.  

There are other MediGAP plans that aren’t as inclusive like the MediGAP Plan G HIGH DEDUCTIBLE PLAN - where premiums are much less but the beneficiary shares in some of the risk ( $ 2700 per year currently).  Just as an example - if one has a Plan G, their monthly premiums might be $ 200 a month (or MORE in certain areas) but a Plan G HIGH DEDUCTIBLE in the same area and same plan is only $ 50 a month - because you would also pay that High Deductible of $ 2700 a year IF you have used it that much.

This is one of the reasons why many Medicare Beneficiaries choose a Medicare Advantage (MA)plan over Original Medicare with a Medigap plan.  Under the MA, which is Medicare managed care, they pay low or no monthly premiums but have copays, coinsurance, networks and a maximum out of pocket because these beneficiaries feel this is a better plan for their pocketbook and health needs.

Please read up on MediGAP and know what you are buying and how premium cost will rise over time -

Medicare.gov- Medigap Basics Explained

Just want you to understand what you are buying and are getting your best value - it is sometimes hard or even impossible to add or change a medigap policy in some states without underwriting.  

[GailL1]

IF you are interested, here is Nerdwallet's Physicians Mutual Medicare Supplement Insurance 2024 Review

Good Luck in your quest - are you going to be effected by underwriting?

[JamesG831539]

Physicians Mutual is one of the most expensive supplements on the market

[kasyy]

Luckily my husband was a lifelong union member and his union provides guaranteed acceptance to a medicare supplement - I am grateful indeed to have such a benefit and will switch during their guaranteed acceptance periods (may-june of each year.)

[kasyy]

already been to nerd wallet - I have done extensive research -already.  I am def switching as soon as I find the right one.  

[marianne718]

Same here. I just today learned that my and my husband’s UHC Rx premiums increased by 92%—from $40.90 to $78.80 EACH, effective Jan 1 2024!  I do not at all remember being notified about this increase because it strikes me that a 92% increase of ANYTHING is certainly something I’d take note of.  Too, I was never notified that I had an outstanding balance until I received an e-mail to that effect just last week. This is beyond shameful—it feels criminal and I am appalled that AARP is stands behind this. 

[GailL1]

@marianne718 

In the late summer or early fall of 2023, you should have gotten a 2024 edition of your free standing UHC RX plan Explanation of Benefits - it would have covered all the 2024 changes to the plan including premium increases, new deductibles, formulary changes - these plans are only issued for 1-year at a time since changes are made each year and you are given an Open Enrollment period during Oct - Dec to change plans based on your most current needs.

2024 was the beginning of several legislative changes - You are going to be getting more from these Part D plans like monthly supply of insulin for $ 35 with no deductible, like a declining out of pocket expense that begins in 2025 - like restricting the amount of premium increases beginning in 2025 - 

If this plan does not fit you and your needs - then change to one that does in the fall of 2024.  

Are you low income?  If so, look up the income threshold in your state for the program of “EXTRA HELP” and apply for it.   SSA.gov- EXTRA HELP

I wrote this in this same thread on 03/18/2024 -  it explains many of these new benefits - so yes, if you get more, you pay more.

As a beneficiary of a Medicare Prescription Drug Plan, the government has negotiated several really big cost saving changes that will go into effect in 2024, 2025 and 2026 and also a restriction of how much premiums can go up beginning in the following years.  So as a result of these changes, the insurers are doing some adjustments in their premiums for this year to get ready for this additional coverage they are going to have to bear come beginning in 2025.

Did you think that these things would just occur without cost?

KFF.ORG- 04/23/2023 - Changes to Medicare Part D in 2024 and 2025 Under the Inflation Reduction Act ...

It’s also been in the regular MSN

CNBC 11/23/2023 - Retirees face significantly higher Medicare Part D prescription drug premiums in 2...

Where your money is involved, pay attention to the government - you don’t get anything for FREE.

[MarieD844050]

My mother was enrolled in the UHC prescription plan paying $77 a month.  In the process of switching her coverage from one state to another (an increase of approximately 10%) I inadvertently enrolled her in an advantage plan.  I contacted Medicare and explained the error.  A very helpful  representative was able to switch her to traditional Medicare and retain UHC.  We discussed her prescription plan.  The rep was appalled my mother was paying a high premium ($77 per month).  We switched to Wellcare for $120 the first year she was enrolled, the second year it was free.  Same coverage as her UHC plan.  Now I'm with UHC since May 2024.  The increase effective June, 2024 was a total surprise as when I enrolled, the UHC rep never informed me of an increase beginning June 2024.  In addition the Wellcare plan is free.  I recently received an IRMMA letter increasing my Plan B premium by 28% and I am now responsible for $12.90 a month for Wellcare which isn't paid to the company, it's paid to Medicare.  My second month of retirement has produced an additional 35% decrease in my  monthly income, increases in medical coverage premiums.  Anyone ever get a 35% decrease is their monthly SSA income?  A very disappointing welcome to retirement!!!

[GailL1]

@MarieD844050 

IRMAA (Income Related Monthly Adjusted Amount) Part B and Part D premium surcharges are accessed on beneficiaries that make a higher income - I have long paid them as well as many other beneficiaries.  If your IRMAA premium surcharges are based on excludable life event, you can ask for a reconsideration on form SSA-44- remember it is based on the tax return (2) years back or longer if that is the only one available.

https://www.ssa.gov/medicare/lower-irmaa 

Beneficiaries should review their Part D Medicare coverage EVERY year and make sure the plan they pick covers the specific meds they are taking because not every plan covers the exact same meds - the insurers are required to cover (2) meds in most all the various med classes and ALL of them in (5) classes -

So coverage of the med is 1st - then look at the cost of the meds, the premiums and whether or not there is a deductible.  Keep in mind, you don’t have to use the Med D plan if you can get the med cheaper in some other way - but you do need the med D plan to avoid late sign up penalties.

Medicare also rates insurers by star ratings.

If you are on Original Medicare with ore without a Medicare supplemental plan (MEDIGAP) then you have to look for a standalone Med D plan - most Medicare Advantage plans today combine the (2) coverages - Medicare Medical & Prescription Drug program (MAPD)

If a beneficiary has problem picking plans for themselves - they can contact a SHIP agent in their state or go thru an Independent Medicare Insurance Broker - an agent that writes for a lot of different Medicare insurance insurers - they can compare lots of different plans and explain the coverage options.  - A captive agent only writes for one Medicare Insurance company insurer - like UHC.

Please, Please, Please beneficiaries - just understand your options and pick the best one for your needs and pocketbook - and understanding Medicare - the whole program will be a benefit to you too.

[jwalker5]

Thank you for this information and reminder. 

[lhall12]

  It is a ridiculous increase. AND since they changed the timing of their increases to June instead of year end, like other plans, you can not compare prices for the new year. This has been underhanded and sneaky.  

[GailL1]

Medicare.gov - GET MEDIGAP COST

[GailL1]

@lhall12 

Bet if you read through your EOC (Explanation of Coverage) you might see that they might be able to raise premium twice a year, sometimes even more.

That isn’t regulated at the Federal level.  State, maybe.

Everbody needs to understand that MediGAP policies are gonna go up, Up and UP because of what they are based upon - Medical cost of a senior group.

• Goes up in rating method
• Goes up when Medicare coverage expands especially when the expansion involves very costly treatments, Part B meds, etc.
• Goes up when auxiliary benefits increase in cost
• Goes up with utilization of Medicare coverage
• Goes up when the beneficiary is exposed to a declining premium discount

[RitaC373420]

 I just retired and began Medicare coverage in September 2023.  A Medicare Benefits Consultant advised me to select AARP United Healthcare as my supplemental coverage.  My initial premium was reasonable; however, after less than eight months as a plan member, I received yesterday from AARP United Healthcare a letter about an increase to my Medicare Supplement Plan G. I am appalled at the huge increase. My premium increased more than 14%, an increase of 24.28 per month.  If I want to switch Medicare supplement providers, I would have to go through underwriting.  I certainly feel trapped by this situation and am unsure what to do next.   If AARP United Healthcare keeps increasing the cost each year at such a high rate, I will soon be priced out of getting supplemental health care coverage. I am appalled that AARP, an organization that I respect, would allow United Healthcare to get away with taking advantage of seniors who are on fixed incomes.

[p248613r]

5 years ago i went with aarp UHC because they were community based. Everything I read said thats a little higher cost monthly but because they don't  raise due to your age every year like all the other companys , in the long term they will be the most cost effective. So when I am 80 they are not charging me excessively because I am 80. With this last hike mine went from $136 to $ 153 a month for plan n and i am 70 . Thought of changing scares me because they are most likely age related or attained age. I know that I could not afford those rate increases of inflation and me getting older. .so I guess I suck it up and hope it doesn't get too crazy.

[kasyy]

you're lucky that's only as high as it went -0 my plan N ( I am 75) went from 172 to 226 !!!!!!!!!!!:

[GailL1]

@p248613r 

OR you might live in a state where any change to your MediGAP plan - can only be done if their is underwriting - 

Your state is the one that make the rules about changing MediGap policies so see what the rules are in your state - dept of insurance or whatever they call it in your state usually has detailed info.

Or if you give me your state - I will look it up.

[maeella9]

I am in total agreement with you, Rita.  This is beyond ridiculous.  It appears to me that caring for retired seniors is not a priority in the U.S. anymore.  In Pennsylvania where I live, I have been on a 7-year waiting list for affordable senior housing In Montgomery County.  I am forced to move in with my sister temporarily until my name comes up on the list because I simply cannot afford this place that I'm in right now where they nickel and dime you to death.  
They have no regard for seniors on fixed incomes.  My town was once full of factories and warehouses...they are now being gutted and replaced with luxury apartments! Why couldn't they add extra senior housing instead?  They are getting subsidies from the state and the feds.  Also, the post I made about AARP United Healthcare's premium increase for 2024 had me fuming.  We seniors have worked our butts off (I have worked since I was 16, I'm now soon to be 74) and no one, not even AARP will send a message to these Medicare supplement insurers that for AARP to attach their name to their insurances then they need to charge reasonable premiums for those of us with little to no savings and limited retirement resources.  This is a real slap in the face!

[GailL1]

@maeella9 

Speaking of the Housing which you commented upon  - 

Do you know how those Senior Independent Affordable Housing Complexes came about and why few are being built at a time when they are needed so badly?  

I posted a rather detailed piece about them in this Community’s HOUSING Board

https://community.aarp.org/t5/Housing/Senior-Housing-Market-Subsidized-Section-8/td-p/2546929 

The reason why they are in such low numbers in availability is:

1.  this program was found to be too expensive for the non-profits building and servicing them - especially in the areas where many seniors want to live because along with affordable comes accessible.

The price of land escalated as well as the price of construction and maintenance - so it is hard to find a good place for them without breaking everybody involve banks, so to speak.

2.  the income shift of seniors in these units has gone from subsidized to more Section 8 - as the income of seniors to their expenses has escalated - they are poorer and poorer.  But on the other hand, the upkeep of these places have escalated.  Those that paid market rent at one time are now at the subsidized level and those that were only subsidized are now Sect 8 along with the others already at this level.

3.  we are living longer - thus seniors stay in these places forever and a day.  With the wait list getting longer and longer.

Got a solution ?  

[RitaC373420]

Actually, I just discovered that the increase was 15.3%, far more than the rate of inflation.

[maeella9]

Outrageous!

[GailL1]

@RitaC373420 

GAP insurance premiums for Medicare is based on a lot of different things - MEDICAL inflation is but just one.  The coverage extensions to some relatively expensive treatments covered under Medicare could be another [like the new Alzheimer’s treatment coverage].  The expanded Part B coverage of insulin for pumps could be another.  When more benefits are added, the GAP coverage is there to pick up their part of the increase in coverage benefits.

Then there could also be a reduction of any premium discount which you might be under and of course, the rating method of your plan.  I believe that many UHC Medigap plans have such a declining discount.

Or if there is an added benefit in your policy outside of the standard federally mandated coverage, that part of the premium could also go up - like for gym participation or something else - cause these are outside of the plan coverage and are extra benefits.

I can’t tell you specifically why it went up - maybe your state can or the insurer.

However, here is a notice that UHC sent to the state of Vermont in November of 2023 discussing their increase premiums for 2024 MediGAP plans - 

https://www.uhc.com/content/dam/uhcdotcom/en/Legal/required-state-notices/2024-VT-Rate-Increase-Just... 

[AARPConsumerCare]

We're sorry to hear you’re having trouble with United Healthcare, @RitaC373420. We are listening and would like the chance to help as soon as possible. Please visit https://help.aarp.org/s/article/contact-aarp to chat, text, or speak with a representative who can get you in touch with our Member Relations team. - Diana G.

[GailL1]

As a beneficiary of a Medicare Prescription Drug Plan, the government has negotiated several really big cost saving changes that will go into effect in 2024, 2025 and 2026 and also a restriction of how much premiums can go up beginning in the following years.  So as a result of these changes, the insurers are doing some adjustments in their premiums for this year to get ready for this additional coverage they are going to have to bear come beginning in 2025.

Did you think that these things would just occur without cost?

KFF.ORG- 04/23/2023 - Changes to Medicare Part D in 2024 and 2025 Under the Inflation Reduction Act ...

It’s also been in the regular MSN

CNBC 11/23/2023 - Retirees face significantly higher Medicare Part D prescription drug premiums in 2...

Where your money is involved, pay attention to the government - you don’t get anything for FREE.

[LauraA422032]

I just received notice from UHC that my Medigap plan premium is increasing 4/1/2024. When I signed up for the plan during open enrollment, the premium was slightly higher than last years. How can they increase the premium 4 months later, when open enrollment has ended and I cannot change plans until next year? This is bait and switch. I informed AARP and I'm contacting the Govt next.

[lg78164236]

Laura, I totally agree with you.  I was shocked when I received a brand new account statement in the mail indicating my premium is increasing from $170.72 a month to $196.34... a $26.34 per month increase.  This blindsided me as well.  And we're stuck with the high rate until the next open enrollment.  At the same time, what other insurer is going to be any better?  I'm panicking.

[AARPConsumerCare]

We're sorry to hear you’re having trouble with UnitedHealthcare, @LauraA422032. We are listening and would like the chance to help as soon as possible. Please visit https://help.aarp.org/s/article/contact-aarp to chat, text, or speak with a representative who can get you in touch with our Member Relations team. - Diana G.

[GailL1]

Medigap premium.increases are reviewed and approved by your state’s dept of insurance.  There is NOT an OPEN enrollment period for Medigap plans - there is only the initial enrollment period except in some states with a “birthday rule” or some sort of state rule that allows you to change plans based on some criteria.  

Open enrollment is only for Medicare Advantage plans or a Medicare Prescription Drug plan NOT a MediGAP plan.

Yes, Medigap plans can go up - they go up because of medical inflation plus based on whatever method they use to rate the MediGAP plan that you picked 

• community rated
• issue age rated
• attained age rated

They could do each of these separately - medical inflation 1st then a rated-based claim next.  Or actually for any other reason that passes your state’s approval system - 

After all, MediGAP policies aren’t health insurance - they are financial protection insurance to protect you from the “limitless” out of pocket cost in Original Medicare which the beneficiary has to bear.  

Some people handle this by getting a Medicare Advantage plan where the Medicare out of pocket cost are restricted under these managed care insurers.  Others get a MediGAP to pay this Medicare out of pocket and continue to pay higher and higher premium as they continue their original Medicare coverage.  Your MediGAP plan will continue to go up in premium cost - how much?  Who knows but the risk pool that you are in within your plan will get older and older and usually this may mean sicker and sicker.

MediGAP insurers are getting hit pretty hard in the last few years because now people are getting back to seeing their doctors regularly  which they stopped doing during the PHE (Public Health Emergency - i.e. Covid Pandemic).