Los Angeles, CA - March 31, 2016 - A 65-year old male purchasing Medicare Supplement insurance will pay anywhere from a low of $126-per-month to a high of $444-per-month according to the just-published 2016 National Medicare Supplement Price Index.
"Costs for Medicare Supplement insurance, also called Medigap, vary significantly for both men and women," reports Jesse Slome, director of the American Association for Medicare Supplement Insurance (AAMSI), which released the first phase of the study that compared rates for the top-10 metropolitan areas. This was the first national cost analysis undertaken by AAMSI.
According to the Price Index, a 65-year-old woman will pay as little as $118-per-month in San Antonio, TX to as much as $444 monthly if she lives in Manhattan, NY. The Association study examined costs and reported percentage differences between the low and high rates. "For a 65-year old male, the average difference was 39 percent," Slome notes. "For 65-year-old females, the average difference was 34 percent but in some cities the spread between the lowest and highest costs was as much as 48 percent."
Some 12.2 million Americans were protected by Medicare Supplement insurance in 2015 a significant increase compared to 2010 when 9.7 million owned a Medigap policy. "With 10,000 Americans turning 65 every day, the number of Medigap policyholders will continue to grow."
The Association examined monthly rates for Medicare Supplement Plan F, the most commonly purchased coverage. "Some 66 percent of individuals choose Plan F," Slome shared. "Prices vary and no single insurer was consistently the least expensive nor the most expensive," Slome says the study found. "Consumers who want the best coverage for the lowest cost would be well served by working with a knowledgeable Medicare Supplement insurance agent who can educate and help them with the comparison shopping."
Key Findings From The 2016 Medicare Supplement Price Index
- Average Percentage Difference (Lowest vs. Highest) For Male, Age 65 = 39%.
- Average Percentage Difference (Lowest vs. Highest) For Female, Age 65 = 34%.
- Greatest Percentage Difference (Lowest vs. Highest) For Male, Age 65 = 68%.
- Greatest Percentage Difference (Lowest vs. Highest) For Female, Age 65 = 48%.
- Highest Monthly Cost For Male Age 65: $444-per month (Manhattan, NY)
- Highest Monthly Cost For Female Age 65: $444-per month (Manhattan, NY)
- Lowest Monthly Cost For Male Age 65: $126-per month (San Antonio, TX)
- Lowest Monthly Cost For Female Age 65: 118-per month (San Antonio, TX)
The American Association for Medicare Supplement Insurance was established to provide consumer awareness and education, marketing support and networking opportunities for professionals who market Medigap insurance.
The organization maintains the nation's largest online directory of local independent Medicare Supplement insurance professionals at www.medicaresupp.org.