There is more to Medicare Advantage than just HMO and PPO plans. There are also Medicare Advantage MSA (Medical Savings Account) plans. These plans blend a high-deductible health insurance plan with a savings account and are offered by private insurance companies approved by Medicare. Here are the key features of Medicare Advantage MSA plans:
MSA plans have a high annual deductible, which you must pay out of pocket for covered services before the plan starts providing coverage. The deductible amount can vary from year to year.
MSA plans include a special savings account. Medicare deposits a specific amount of money into this account each year, and you cannot contribute to it. These funds are used to pay for healthcare expenses until you reach your annual deductible. However, remember that the amount deposited is generally less than your plan’s deductible.
MSA plans typically do not have a network of providers. You can receive care from any Medicare-approved provider if they accept Medicare assignment.
MSA plans do not include drug coverage. You can enroll in a separate standalone Medicare Part D plan if you need it.
Once you reach your annual deductible, the MSA plan typically covers 100% of Medicare-covered services for the remainder of the year. However, you still must pay the Medicare Part B premium and any applicable coinsurance or copayments.
Any funds remaining in your MSA at the end of the year can roll over to the following year. This allows you to accumulate savings in the account over time.
MSA plans aren’t suitable for everyone, but how do you know if it’s the right choice for you? Delta Medicare Benefits Group can help. We have all the resources needed to help you make educated decisions. Book an appointment with us now!