Medicare Give Back Benefit – What Is It And How Does It Work?
So you keep hearing about something called the Give Back Benefit. It’s all over the TV commercials and print ads. So what’s with all the hype?
The Give Back benefit is used to reduce the cost of the Medicare Part B for individuals. It’s an amount that is credited to your Part B monthly premium payment.
This benefit is provided through insurance companies that offer Medicare Advantage Plans. The insurance company will notify Medicare and Social Security that they will cover a portion of your Part B premium.
Give Back Eligibility And Medicare
If you’re eligible for Medicare and you have Part B medical insurance, then there’s a cost for Part B, and the cost for Part B can change every year.
For most people on Medicare, the Part B premium is either deducted from your Social Security benefit every month or you pay it another way such as through your bank account.
If you enroll in a Medicare Advantage Plan that offers a Give Back benefit, then you will see a reduction in your Part B monthly premium.
This will be for every month that you’re enrolled in that plan. The plans can change every year, so you need to be aware that the Give Back benefit could change as well.
How To Get A Give Back Benefit
So how do you get a Give Back benefit? Well it depends on the area where you live and whether or not there is a Medicare Advantage Plan that offers this benefit. With Medicare Advantage Plans, in order to enroll, you have to reside in the service area of the plan.
If there are no plans that offer a Give Back benefit then you won’t be able to get it unless you moved to another area where one of the plans are available.
How does A Give Back benefit work?
If you get a Social Security benefit, then you will see an increase in your check every month. The Part B premium deduction will be lower.
So for an example, if your Part B costs $148.50 per month and your Give back credit is $70.00 per month, then you would see an increase of $70 in your monthly check.
Your Part B payment out of your pocket would drop to $78.50 instead of $148.50.
If you don’t receive a Social Security benefit then you’ll pay for your Part B another way. The amount of the Give Back will reduce your monthly Part B premium bill.
Things To Consider Before Choosing This Type Of Plan
This sounds really enticing especially when you’re on a fixed income. But there are some things to consider first before choosing a plan with a Give Back Benefit.
You want to compare all the benefits including:
- Co-pays for services
- The annual maximum out of pocket for the plan
- Your prescription costs
- Make sure your doctors are in the network
If the costs are much higher than compared to another plan, the monthly Give Back may not be worth it. You may be able to get another plan that will provide a much better value in the long run. You definitely want to compare plans to see what makes the most sense for your situation.
Some people qualify for assistance through the Medicare Savings program, where the government pays for their Part B monthly premium. If the government pays your Part B premium, then you’re not eligible for a Give Back benefit since you already get help paying for Part B.
You may want to know if there’s an option for a Give Back Benefit in your area. So give us a call at (800) 783-5901 and we’ll be happy to show you what’s available and compare your options.