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.  

[TRL1111]

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@GailL1 wrote:

So say their Plan G new premiums is $378 a month but the Plan N is only $ 208 a month - that’s a savings of $ 170 A MONTH or $ 2040 a year - that’s a pretty good savings even considering the copays and perhaps even a few excess charges. 

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What zip code are you using that has such a huge difference between Plan G and Plan N?  Maybe Texas is an anomaly, but in my zip code, a 69-year-old woman with AARP/UHC's Plan G has a premium of $175 a month while the Plan N is $150.  That's only $25 less, nowhere near $170.

Those premiums are going up in July, to $217 and $186, respectively.  Both plans are going up 24%, and I remember people predicting that Plan N would have lower increases than Plan G because healthier people would be the ones choosing to be in Plan N over Plan G.  Obviously that didn't work out in my zip code, and maybe it won't work out for the high-deductible plans, too, because people will flock to them when they first sign up for Medicare, and flock to them when downgrading their plan with guaranteed-issue rights under birthday rules (not applicable in Texas), affecting that risk pool, too.  

[GailL1]

I am just giving an example - no specific place.  

But here is AZ - notice the Male HIGH price comparison in Plan G, Plan N and Plan HD-G

AZ SHIP   

Yea, every state is different and depending state laws, state regulators, usage, risk and medical inflation and on the health status of their Medigap population.  

You maybe right - it may just be the luck of the draw on which plans rise the most in premiums but I just think that the HD-G, if nothing else will attract beneficiaries that will think twice a bit more since it is more their out of pocket cost that is 1st having to be covered.  Now of course, this would be for those normal medical things - just the ole regular Part B office visits with just those smaller complaints.  

Something serious and they will spend that $ 2950 without question and begin their regular Part G coverage.  

This does make a difference in usage.  That is why CMS has gotten rid of selling 1st dollar coverage plans now.  

Will “G” be next come about 2030 when the baby boomers are finishing up their enrollment in Medicare????

[TRL1111]

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@GailL1 wrote:

I am just giving an example - no specific place.  

But here is AZ - notice the Male HIGH price comparison in Plan G, Plan N and Plan HD-G

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With all due respect, why not compare the highest price Plan G to the lowest price Plan N? It would make your case more compelling, and no less accurate.

Margaret is wondering why she can't change from G to N with her current insurer, and I assume she has an AARP/UHC plan. I have no idea where she is, but using your Phoenix example, for a 65-year-old man, there's a $60 difference between Plan G and Plan N, and when the premiums go up on June 1, it will be an $80 difference. So...not the $170 you made up, but also not the $25 that applies to me in particular. And his Plan G with AARP/UHC is $204, nowhere near the $526 highest premium possible in the chart you posted.

I found these premiums on the AARP/UHC website. What's really interesting is that for man turning 65 getting a supplement starting May 1, these are the premiums (his premium will be guaranteed for six months):

Plan G $204
Plan G with wellness extras $209
Plan N $142
Plan N with wellness extras $169

But look what happens if he starts on June 1, when the 2026 price increase hits:

Plan G $265
Plan G with wellness extras $230
Plan N $185
Plan N with wellness extras $186

For both Plan G and Plan N, the increase is $30%. But for the versions of Plan G and Plan N that include wellness extras, the increase is 10%.  

The increases are the same for Plan G and Plan N, even though everybody was expecting Plan N to go have lower increases because of the presumably healthier risk pool.  So that makes two states where the anticipated lower increases for Plan N didn't actually happen.

That's the same thinking with High-Deductible Plan G. It will be interesting to see if it actually pans out.

Adding to the intrigue, notice that increases for the plans with wellness extras are far lower than for those without; as I said, it's 10% for plans with wellness extras and 30% for plans without them. In fact, in June, for our 65-year-old man, the Plan G with wellness extras will be $35 cheaper than the Plan G without them, and the Plan N will be the same premium whether it's the N with wellness extras or the N without them.  That certainly isn't what one would expect.

So it's probably futile to try to predict anything when it comes to supplement premiums, except that they'll go up.  But it matters if they go up by 1% or 30%, and that's what's impossible to predict.

[CBtoo]

They might switch from G to N because they have no clue about the make up of the risk pool. They may be thinking about premiums only, using a system that won't cut off care and sue you if you don't pay (we have a big system here that won't do that and many people use them for that reason). Maybe they think they will end up paing less as they are not thinking through the math. People do all sorts of things for reasons that aren't rational, logical or make financial sense.

[CBtoo]

I was explaining why premiums are usually higher in states where you can avoid medical underwriting to switch. She was also not happy with the high premium costs. I wasn't addressing the G-->N. My answer was for more than just her since others are reading the threads and may not know that.

[jphorenci]

We know how it works Gail. Are you a shill for UHC? The increases are unreasonable and feed overpaid executive compensation plans, exorbitant AARP commissions, and excessive company profits at the expense of average elderly Americans. Many of those elderly don't have the time, energy or skill set to shop for better prices, foolishly depend on AARP to look out for their best interest, and fear change will leave them penniless and homeless. The process is so convoluted and complicated they simply comply and UHC expect they will, so it has no motivation do do better. I've spent hours on my laptop taking care of my personal business but very many of my generation do not have the capability of doing the same. 

[LuisaC963531]

I am canceling my aarp. I thought it was there to help cost down for seniors now uh has gone to almost 300 a month

[GailL1]

@LuisaC963531 

I think you have been under the wrong impression of the purpose of the AARP - benefits are only just offered.  You pick the ones you want and leave the rest.  I have never heard that AARP is there to hold down Medigap cost - they have nothing to do with price setting of a Medigap plan - says so everywhere on this site and the world wide web.

Probably is even mentioned in your plan itself - 

AARP.org - AARP® MEDICARE SUPPLEMENT FROM UNITEDHEALTHCARE® 

Read the disclosure.  

[GailL1]

@jphorenci 

BTW, I am not a shill for any Medicare plan - I just want beneficiaries to know their options for their best interest.

I am a senior - actually a very old senior - I am now closer to 90 than 65 and I have been doing this on this site since 2008.  Perhaps it is time that I stopped. 

[SereneSeagull]

@GailL1  I sure hope you don’t stop.

 I think many times these conversations get so emotional because it can be frustrating.  I think taking the emotional side out of it and listening can be beneficial.  I’ve learned a lot, as have others, I’d hope, with your detailed and thoughtfully researched answers.  Sometimes people lash out at the frustration of it all.    Thank you.😊 

[SereneSeagull]

@jphorenci I believe @GailL1 to be a person who cares here, your comments are out of line.  

[jphorenci]

And I will continue to call out anyone who defends these out outrageous increases. The very dismissive just change plans attitude is not someone who cares and is out of line as far as I'm concerned. 

[GailL1]

@jphorenci 

Are you kiddin’ me?  Changing plans is the option that is available - even if they change to a Medicare Advantage plan.

They need to know about their options.  They can go to their state’s SHIP office and get one-on-one counseling on what action options they have within their state.  

So they don’t have to learn it on their own to make a decision, they can learn where to get help from their state.  In fact, they even have a website to locate the office in their state.  

Edited to add the link:  State Health Insurance Assistance Programs - State locator

If they can’t figure out how to get some direction, they may need to appoint a person who can act for them in this respect - maybe even in other respects too.

[GailL1]

@jphorenci 

Then go to your state and ask them why they approved the increases.  They will tell you pretty much what I have told you - the increases are justified (for all companies) based on -

• USAGE
• RISK
• INFLATION
• and the chosen or legislated rating method used by their insurers 

I am sorry that so many seniors have a hard time understanding Medicare (all of it) and making decisions for themselves and need help in determining their best course of action.  Perhaps that is why EVERY state has a SHIP office to help them - (State Health Insurance Assistance Program)  - Counselors are there to advise them.  But of course, the other solution is a Medicare Advantage plan. 

[CBtoo]

Not to mention that in many states you have to pass medical underwriting to switch medigap plans and in the state that you do not have to deal with medical underwriting to change often the fees are higher because those plans have people with more medical problems in them. In those states if their doctors are in network and they rarely go to the doctor an advantage plan is cheaper when they have more issues a medigap is usually cheaper as usually premiums plus out of pocket max in a supplement is less than copays with a much higher maximum out of pocket. In the state I am in (which has not yet announced the higher premiums (but they go into effect June 1 so I am presuming they will be out May 1) which is $14,000 and lose change. The cheapest is just under $5000.

What this means for states where you don't have to pass medical underwriting is that supplement premiums are generally higher than in states that require you to pass medical underwriting because there are more expensive patients in the supplements.

[GailL1]

@CBtoo 

That is all true but seniors can always check to see how a change in plans or insurers would affect them.  

I know many seniors that are now switching to the High Deductible Plan G - but if I am not mistaken in all states, AARP/UHC Medigap do NOT even offer this premium savings plan.  

Plan N premiums are also on the rise - since seniors are also switching to it.  But that isn’t gonna help if premiums keep going up on this plan.  

How many Medicare beneficiaries (over and under age 65) even know what their state laws are when it comes to Medigap plans and their options? 

[CBtoo]

Well on the uhc website it says they offer a high deductible G.

They also offer "regular" G that has the extras like a gym membership, a "regular" G without the extras (that is not in all states yet, they are introducing it a handful of states a year), a "Select" G that requires you to uses in network and has a higher deductible (that is not available in my state so again that must only be in some states). 

[TRL1111]

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@CBtoo wrote:

a "regular" G without the extras (that is not in all states yet, they are introducing it a handful of states a year)

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Actually, they introduced the Plan G without wellness extras in Texas about 4 or 5 years ago and they've already stopped offering it to new people, so I'm not sure they'll be rolling it out to other states. 

And the people who jumped to the one without wellness extras to save a few bucks might be stuck in a plan with a closed book because Texas doesn't prohibit underwriting to switch Medigap plans.

[SereneSeagull]

Lol @jphorenci 

[GailL1]

@BruceW844572 

If you are talking about UHC - you do understand that the CEO is over ALL parts of their business 

Employer Coverage, Individual coverage (if they do that IDK), Medicare Advantage coverage, Medigap coverage and more . . . . 

Increases in Medicare plans over the last several years has also been due to legislative changes in the Rx program by the Inflation Reduction Act.

Medigap premium increases are approved at the state level - they are figured on plan usage, medical inflation and risk assessment.  

Many health policies have a specific % (75 % - 85%) that have to be paid out in claims and how much has to be set aside as a reserve in case there is some huge influx of claims and what remains pays for Administration and any profit.  

It is all determined by actuarial data and thus they don’t just pull numbers out of the air.  

Also the more RISK you are willing to take for your own care, the lower your premiums will be for this higher risk policy. 

Like compare a Medigap Plan G and a High Deductible Plan G - one is several hundreds of dollars a month, the other is less than $ 100 in some states less than $ 50

[VictoriaW166426]

My notice came today…but they have some crazy math going on.  I’m currently paying 138.14 per month and they’re raising it to 198.34 and saying it is a 15.5% increase stating this just applies to the base rate and does not include discounts (???). 60.20 more a month is ALOT more than 15.5%!!! Their explanation that it’s due to rising healthcare costs and updates to Medicare deductibles and reimbursement is BS.  They only pay 20% of what Medicare ALLOWS not what the provider charges and don’t pay the deductible anyway on part G.  Ridiculous

[CBtoo]

You may or may not be caught with the annual reduction in your age related discount. If you only have one increase a year then they both hit at the same time. If you have two premium increases then they are separate. It depends on when you signed up for it to be effective. Is is just "bad luck" if they happen to coincide. 

[GailL1]

@CBtoo 

Wonder how many seniors that have a AARP/UHC Medigap plan with this provision even know it is there? Much less when it took effect when they 1st signed up. 

[CBtoo]

Well if they don't read the paperwork nor the letters that come announcing the price increases and call to ask if they don't understand why there are two increases a year (except in the one case where they are on the same month due the month you had it in effect) that is on them and not the insurance company. If they are too cognitively impaired to deal with it hopefully someone else is.

And I know when I signed up (not through an agent) I was informed about the age related discounts. You'd hope an agent, if they used one, would explain their fee/discount structure.

[blazingsword]

You are fortunate that is all that you are paying. Mine went up to $50.00 per month, and as of June 2026 will be $468.00.

[DavidM280677]

Hi Victoria,

I too have had a 41% increase in my premiums -- we're in OH.  Looks like yours is more like 43.58%.  This was across the board coupled with (depending on your age right now) 3% reduction starting at age 68, of the initial discount you received from UHC when you first signed up.

My wife an I are going to check rates again, but I'm afraid that we are going to be "stuck" paying these increases.  Sad to say. UHC may be the best priced again...

[CBtoo]

If people live in a state where you can change your medigap/supplement without medical underwriting the premiums are rising faster than in other states. This is because many use an advantage plan while they are healthy because it is cheaper. Then when they have more things wrong with them they switch to a supplement because the combined premium, medicare B deductible (only those old enough to have F don't pay that if and only if they choose F), and maximum out of pocket (ranging from nothing - F, only the B deductible - G, and it goes up from there for the other supplements) is cheaper than the maximum out of pocket on all advantage plans, You usually don't even have to hit the advantage plan max out of pocket for the supplements to be cheaper. Unfortunately it usually means the people who have supplements are "sicker" and so that drives prices up.

In states where you can't switch unless you pass medical underwriting the supplement group generally isn't "sicker" and so in those states the prices and increases are lower.

[TRL1111]

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@CBtoo wrote:

If people live in a state where you can change your medigap/supplement without medical underwriting the premiums are rising faster than in other states. This is because many use an advantage plan while they are healthy because it is cheaper. Then when they have more things wrong with them they switch to a supplement 

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I think you're talking about birthday rule states, because one of the knocks on the birthday rule is that it will lead to higher premium prices.

But it sounds like you're confused about how it works, because the birthday rule applies only to switching Medigap supplements--you have to already have a Medigap supplement to use the birthday rule to switch to another Medigap supplement without underwriting. It doesn't apply to Advantage members.  

There are a couple of states that have year-round guaranteed issue rights, but only a couple. I suppose you might be talking about those, but that should be made clear because they're definite outliers.

The bottom line is that in all but a couple of states, Advantage members who get sick and would prefer to have Original Medicare and Medigap supplement can't do so unless they can pass underwriting, whether they're in a birthday rule state or not.  

[CBtoo]

Supplements, not advantage plans, were what was being discussed and how the rates are going up. And no, I am not confused.

I am taking about more than birthday rule states (and the rules in those states aren't identical as states determine the rules for that) as there are an assortment of rules out there that vary between states that allow people to change their supplement once a year, and in some states switch from an advantage plan to a supplement without underwriting, the birthday rule is only one of them. 

In fact a new state law was passed in MN where people can change to a supplement or between supplements when they are between the ages of 65-70. After that they need to pass medical underwriting.

The rates are generally higher in states that allow people to change into supplements as the percentage of sick people migrate to supplements (from advantage plans) when their medical expenses start to rise when they are using more medical services (the out of pocket in advantage plans in my state range from $4800-14,200 and supps premium plus out of pocket is way lower).

Medical underwriting was instituted to prevent people using advantage plans when they hardly used medical services as then they would save a lot of money, and they'd switch to supps as those would be cheaper when they were much sicker. Medical underwriting prevents that if it is required, 

If there was no underwriting the percentage of "expensive" people in supplements would be higher, thus costs would go up to the insurance companies thus premiums would rise. Right now premiums are higher in states that allow people to switch to supplements (outside of their original sign up or the special, limited rules fro your first advantage plan sign up) because of that.

[TRL1111]

You're the one who brought up switching from Advantage to a Medigap supplement without underwriting, without noting that that's possible only in a couple of states. The vast majority of people can't switch from Advantage to a Medigap supplement without underwriting.

Furthermore, as far as I know the states that allow switching from an Advantage plan to a supplement without underwriting have community pricing on their supplements, so you can't really attribute higher premiums to the ability to switch because there's another variable.