Cancer diagnosis will not affect Medigap premium

I am 67 and carry Medicare and a Medicare Supplement Insurance (Medigap) plan. I was recently diagnosed with cancer and began treatment. My doctor is optimistic and predicts a full recovery. My concern is that my Medigap rates will increase now that I have been diagnosed with cancer.

I am glad to hear your prognosis is for a full recovery. More good news is your Medigap rates will not increase based on your recent diagnosis.

Once you are enrolled into a Medigap plan, the plan cannot single you out and raise your rates because you become ill. Your cancer diagnosis will not translate into a premium increase.

This is not saying that your Medigap premiums will remain "flat" over time; Medigap premiums do increase over time. This is simply a reflection of the increasing costs of health care. When the overall costs of paying health claims increases beyond a threshold of the premiums a Medigap company collects, a Medigap plan increases its premiums. This type of rate increase occurs across the board rather than singling out an individual.

Some Medigap plans have age-triggers that increase rates. For example, some Medigap plans set hallmark ages (like age 70, 75, etc.) that trigger pre-planned rate increases. These pre-determined rate increases are designed to mirror the expected increase costs of health care.

With that said, even when a Medigap plans attempts to "build-in" expected rate increases, Medigap plans could underestimate their costs. A person could have an age-attained rate increase and still be notified of an additional across-the-board rate increase.

In summary, your Medigap rates will not increase based on a cancer diagnosis. However, expect that, through the course of time, your Medigap rates will increase.

At what age is a person eligible for Medicare? The reason I ask is that Social Security tells me that my full retirement is age 66. Does that mean that Medicare begins at age 66?

Thank you for this question; this is something many people ask. Medicare eligibility, based on age, begins at age 65. It is advised that everyone approaching age 65 learn about their Medicare options.

The booklet, "Medicare and You," available at www.medicare.gov, will be very helpful to begin learning about your Medicare options. You may also contact your local State Health Insurance Assistance Program at 410-222-4257 to learn more about Medicare.

Some people may be eligible for Medicare at an age younger than 65 if they have certain diseases such as end-stage renal disease (chronic kidney failure).

Other people will be eligible for Medicare prior to age 65 because they are considered disabled under Social Security Disability rules.

Amy Rubino is the director of the Senior Health Insurance Assistance Program

and the Senior Medicare Patrol for

the Anne Arundel County Department of Aging and Disabilities. You may contact either program at 410-222-4257 or [email protected].

Credit: Amy Rubino