If you are eligible for Medicare, it’s illegal for an insurance company to sell you a standard private health insurance plan instead of a Medicare plan. But is it possible to have both Medicare and private health insurance at the same time, and is it a good idea to get coverage from both Medicare and a private insurer? Find out in this blog from My Private Health Insurance.
You Can Have Both Medicare And Private Health Insurance At The Same Time
It is completely legal to have both Medicare and private health insurance at the same time. While a health insurer cannot sell you private health insurance instead of Medicare, it’s entirely possible to be covered by both Medicare and a private plan.
For example, if you are 65+ and retired, but your spouse is younger than you, is working and you are covered in part by their employer’s private health insurance plan, you may be able to have both Medicare and coverage from their plan at the same time.
Understanding How Medicare Works With Private Health Insurance
What happens if you have two insurance policies? Basically, both insurance policies will become a “payer” for the policy, and your Medicare insurer and your private health insurance company will have to work through what’s called a “Coordination of Benefits,” or COB to determine your level of coverage.
Basically, the COB determines which insurance policy pays first. This could be either Medicare or your private insurer, depending on the type of policies you’re carrying.
For example, if your Medicare plan is the “primary payer,” in your case, it will pay the owed amount toward your medical bills first, up to the coverage limits of your plan.
Then, if there are outstanding charges that were not paid by the “primary payer,” these will be sent to the “secondary payer,” which is also sometimes called the “supplemental payer.” If Medicare is your primary payer, the secondary payer would be your private health insurance company.
This secondary payer will then pay any costs that it’s obligated to cover as part of your plan. Finally, if there are any remaining uncovered health insurance costs, you’ll need to pay these out of pocket.
Is It A Good Idea To Have Medicare And Private Health Insurance At The Same Time?
This depends on your health, the premiums you and/or your spouse are paying for private health insurance, your expected medical costs, and a variety of other factors.
In some cases, like if you have very high yearly medical expenses, it may make sense to keep both plans. But if you are relatively healthy and qualify for Medicare, you may be able to save a lot of money by dropping your private health insurance plan. It all depends on your situation.
Contact My Private Health Insurance To Learn More About Dual Insurance
If you want more information about carrying Medicare and private health insurance at the same time, or require help choosing the right insurance plan, My Private Health Insurance can help. Contact us online or call now at 754-206-9583 to discuss your situation with one of our expert insurance brokers, and get the help you need.