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Re: UHC Medigap rate increase history

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The problem with averages is no one is average . . . unless they live in Lake Woebegone.

 

Truth is, no matter which carrier and plan you choose there is really no way to predict where rates will go in the future. Local regs for new and renewal rates vary widely by state. Some require prior DOI approval, others do not.

 

Then there are guaranteed issue rules, birthday rules, anniversary rules, requiring carriers to issue plans under age 65. All of these things complicate your analysis.

 

Ultimately renewal rates are driven by loss ratio's and tempered by market forces.

 

The only truth you can say about predicting future rates is . . . it depends.


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Re: UHC Medigap rate increase history

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I have been hunting for rate increase history.  I found that the AARP Medicare Supplement FIND A PLAN page has this link in the bottom footnotes:

 

http://uhcmedsupstats.com/

 

The second set of links on the resulting Stats page open documents with the rate increase numbers.  You need to select your State in the upper right corner to access the documents.

 

Numbers from these documents show the following National average annual rate increase for various time periods:

4.0% for 2008-2012

3.6% for 2010-2014

2.9% for 2011-2015

2.6% for 2012-2016

 

The documents also include rate increase numbers for each State so you can check the history for your particular State.  These numbers do not include the 3% annual increase for the decreasing initial enrollment discount.

 

The last set of links on the Stats page provide Market Share numbers.  It was interesting to find that the AARP Supplement Plans cover more than 3.6 times as many people as the next biggest insurer.

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Re: UHC Medigap rate increase history

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you should speak with a broker who works with many different companies in your area, have you tried that?

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Re: UHC Medigap rate increase history

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@CarolC585396 wrote:

On average how much has your medigap policy increased each year?  I am planning to use Plan G, but trying to decide who has lower increases overall.  The UHC community plan or an attained age plan such as Aetna or Cigna.  It looks like with UHC I'll get a 3% increase each year because of the initial enrollment discount  plus an inflation or any type of increase  each year?  


How much they might increase year over year is a hard comparison to make because it depends on how they are priced to begin with and what state you are in and the rules they put into play - meaning some states require that a Medigap policy be sold to people who are younger than 65 years old - this would include those who are on SSDI for over (2) years; other states say that their Medigap policies are only available to those Medicare beneficiaries who have reached the age of 65.  

 

Sorry, I don't have one so I cannot answer your question directly.  I wonder if your state's Dept of Insurance might have this historical perspective since they are the ones that regulate the plans.

 

Seems it is also a call on what you think health care inflation might do, if that has bases on the pricing method - from current forecasters, it is now on the rise again after leveling off somewhat during the recession years.

 

An old Kiplinger article says:

https://www.kiplinger.com/article/retirement/T039-C001-S001-comparing-medigap-policy-costs.html

Attained-age policies increase the premiums as the insured ages; issue-age and community-rated policies do not (both can raise rates due to health-care inflation). It's generally best to buy the lowest-priced issue-age or community-rated policy, which may cost a little more in the beginning (but often does not) but usually doesn't raise rates as high through time. 

 

You are wise to determine how the policy is priced because it does make a difference.

 

Medicare.gov -'Cost of Medigap Policies - Chart of Pricing Methods

Note the other things that affect policy cost at the bottom of the page.

Medicare.gov - Cost of Medigap Policies

 

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UHC Medigap rate increase history

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On average how much has your medigap policy increased each year?  I am planning to use Plan G, but trying to decide who has lower increases overall.  The UHC community plan or an attained age plan such as Aetna or Cigna.  It looks like with UHC I'll get a 3% increase each year because of the initial enrollment discount  plus an inflation or any type of increase  each year?  

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