AARP's relationship with Medigap and Medicare advantage companies.

[tedg320917]

 In my state of New Hampshire 3 Medical insurance companies with Medicare contracts have  pulled up stakes, two are completely leaving the state and two are dropping part D plan.  None of the three including one that you seem to constantly recommend or at least highlight are no offering Medicare advantage plans in my area.  It's my understanding, correct me if I'm wrong, that AARP receives some compensation for companies or products it recommends.  If I am correct and given not only what is happening now but the fact that the special rates for members through AARP evaporate rather quickly in a year or two, it feels like a conflict of interest for AARP to suggest in anyway that one private provider should be considered over another.  

[MaryG517696]

Am a newbie here so please excuse any naivety, but am I correct that AARP has no independent advisor on Medicare options? I called earlier and was eventually put through to United Healthcare, and when the Rep wanted to register me I said I just wanted information - he said he'd put me through to the information dept... After 5 mins I realised that no such thing existed ;-).  Can anyone tell me who's the best source (I need someone with a non-toll free number as I'm out of the country at the moment)? I kinda expected more from the much vaunted AARP!

[WebWiseWoman]

Hello, Mary,

I'm sorry to report based on my mother's (91 yo) and my (71 yo) experience, lifetime AARP Membership holders, your best source of information is outside AARP; especially if you're outside the US.

Internet research will be the best course for you now; UHC ripped off my mom for over 10 years until we attended AARP Meetup in NOLA and she found other provider. I've never felt safe choosing UHC when I became eligible; just our experience...

hth

[TRL1111]

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@WebWiseWoman wrote:

Internet research will be the best course for you now; UHC ripped off my mom for over 10 years until we attended AARP Meetup in NOLA and she found other provider. 

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How were they ripping her off?  Were they engaging in deception?  Or since you mentioned your mother getting another provider, was it a case of whatever she had with UHC not being the best fit and your mother didn't realize it?

[WebWiseWoman]

She trusted AARP and their recommendations; they (AARP AND UHC) completely used her generations' trust; yes, deception on AARP and UHC's parts, @TRL1111, for more than 30 years (long before they could have searched online to compare)!

[TRL1111]

I thought it was 10 years.  Regardless, I've learned a lot about people by reading this forum.

[GailL1]

Medicare Part C was established by the Balanced Budget Act of 1997 - under the Clinton's 2nd administration. Then the plans were reconfigured somewhat in 2003 under Bush and the Prescription Drug coverage was added in 2003 but not effective until 2006 and then MA were somewhat again reconfigured in 2010 under Obama.  

AARP and UHC have had a branding relationship since 1997.  They renewed it in the last few years.

I really do not remember what MA plans were like early on - My mother had a BCBS Medigap plan that really shot up in price towards the end of her life after CMS closed book on her Plan J.  But it worked as it was designed to work. 

Are you saying that the MA plans did not work well or were not explained well in their contracts or just the AARP UHC ones?  What was the problem?

[GailL1]

@MaryG517696 

I assume you mean that you are new to Medicare - so 1st, go to 

Medicare.gov - Medicare and You 

and read it - at least the section on how to choose how to get your Medicare benefits.  There are several options for the medical part and you will also have to get a prescription drug plan.

If you want to discuss your options on the plans - you can visit your state’s health insurance programs (SHIP) and there are volunteers that can help you.  OR you can set up an appointment with a local INDEPENDENT Medicare broker who represents many different Medicare plans of different types  - ask your business associates like your insurance agency or your financial or friends and neighbors for their recommendations.  Somebody that has been in the Medicare broker business for a good while and knows about the program and the options.  

Before you jump into anything - understand Medicare and you do this by using Medicare and You - it will give you the basics.  It is available in many different formats to suit your needs - available at the link I gave you above.

This link will tell you how to find and contact your State’s SHIP office.

Medicare.gov - Medicare Rights and Protections - look at page 2

If you want to talk to a UHC Medicare agent - there is a link to finding them on this locator page 

United Healthcare Medicare - locate a local agent  

[MaryG517696]

 Thanks for this Gail, I really appreciate it. I've been out of the country for about 25 years so the whole health insurance thing is something of a horror. I will start with Medicare & You and review in detail. I have to say I'm a bit disappointed in AARP. I called them to try to understand the relationship with UHC & AARP but I was just transferred through to UHC without any explanation. 

Thanks again.

[GailL1]

@MaryG517696 wrote . . . . . I have to say I'm a bit disappointed in AARP. I called them to try to understand the relationship with UHC & AARP but I was just transferred through to UHC without any explanation. 

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

That’s because AARP has absolutely NO say about the plans which UHC offers under their branded name.  The relationship is based purely on a royalty agreement - beneficial for both sides. Thus those at AARP have to refer anybody asking about them to the insurer - that’s for all 3-party benefits.

From the AARP benefits page for UHC Medicare plans:

AARP.org - AARP Medicare Plans from UHC 

DISCLOSURES

AARP commercial member benefits are provided by third parties, not by AARP or its affiliates. Providers pay a royalty fee to AARP for the use of its intellectual property. These fees are used for the general purposes of AARP. Some provider offers are subject to change and may have restrictions.

[GailL1]

This is what your state’s Dept of Insurance has to say about this turnover -

New Hampshire Dept of Insurance - Medicare Advantage Changes in New Hampshire – 2026 

I do not know why they say that there will be a plans available to everybody because this would be a geographical decision IF in a certain zip code there are very few providers and they cannot meet the new rule on the minimum Network design - it goes by the number of providers within a certain distance and sometimes this is just not possible in certain areas.

AARP isn’t suggesting any carrier - they only SELL their name to one to make some royalty money off this branded name.  All the policies and anyplace where the name is used usually has a disclosure similar to or exactly like it is on this website

AARP.org- AARP® MEDICARE ADVANTAGE FROM UNITEDHEALTHCARE® 

copy/ paste from the above link 

DISCLOSURES

AARP commercial member benefits are provided by third parties, not by AARP or its affiliates. Providers pay a royalty fee to AARP for the use of its intellectual property. These fees are used for the general purposes of AARP. Some provider offers are subject to change and may have restrictions.

State Availability

Not available in Alaska or the U.S. territories.

end copy / paste

You do not have to be a member of AARP to purchased an AARP UHC Medicare Advantage Plan.  And the enrollment discount (if that is what you are talking about) does last longer than 3-years.  It just declines over time and with premium increases it is kind of hard to tell if the enrollment discount is still there.

Yep, it is gonna be a year (2026) where people better pay attention and find the best plan for their needs and pocketbook.  CMS has and is initiating a lot of changes that affects the bottom line of the insurers.  

Good Luck - from what I have read - Vermont may even be worse than NH in their changes in MAPD plans.  

[TRL1111]

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@GailL1 rote:

You do not have to be a member of AARP to purchased an AARP UHC Medicare Advantage Plan.  

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Aah, that's interesting.  The powers that be really do make it as easy as they can for people to sign up for Advantage plans.  

[GailL1]

@TRL1111 

I think this has more to do with the type of plan that it is - Traditional Medicare and Part C Medicare (Medicare Advantage plans) are choices of the same program - Medicare.  A beneficiary has to choose which way they want to get their benefits.  Attaching some outside government rule of coverage like a membership in AARP would restrict application to the MAPD plan - government would not like that.

Medigap or Medicare Supplemental plans are completely different - they aren't even medical insurance - they are financial protection insurance against catastrophic cost that could result in Traditional Medicare since there are no out of pocket limits in Traditional Medicare - not annually and not lifetime.  Medigap plans just limit ones exposure to Traditional Medicare cost for those who can afford them.  

[TRL1111]

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@tedg320917 wrote:

the fact that the special rates for members through AARP evaporate rather quickly in a year or two, 

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What special rates are you referring to that evaporate?  As far as I know, in order to sign up for an AARP/UHC supplement, Part D plan, or Advantage plan, you have to be an AARP member.  Once you're signed up, you don't have to remain an AARP member to keep the plan you signed up for. 

And given that everybody has to be an AARP member to sign up for an AARP/UHC plan, I don't know how they could be getting special rates--it's the same rate for everybody.