Issue Age, Attained Age or Community Age

Whats the difference, and Why is it important to me?

When it comes to Medicare Supplement policies there are many different factors that help in determining what the rates are for each plan.  Obviously the coverages the plan provides is the most common, the more coverage you get, the more you pay.  Another factor is whether you have to stick to a network of doctors or not. Medicare Supplement Select plans require you to visit their network for your services in return for a lower monthly premium.

But to get to the title of this page:

ISSUE AGE, ATTAINED AGE, OR COMMUNITY AGE, WHATS THE DIFFERENCE?

This is one of the most important factors that you need to know about if you plan on living with your Medicare Supplement plan for more than four or five years!

ISSUE AGE - (Not offered by many companies) The company will not raise your premium just because you are getting older.  Your premium will always be based on your age when you purchased the policy, but it will be adjusted for other factors. If you buy a plan at age 65, you will always pay the current premiums charged to 65-year-old customers. For example, if you buy the policy at age 65, when you turn 70, you would still pay the same current rate 65-year-olds are paying. Issue age policies can be more costly up front but also can save money in the long run.

Attained age - (offered by most companies) The premium will increase as you get older. If you buy a plan at age 65, you will have a premium increase each year just because you got one year older along with increases for other factors such as inflation and medical costs. For example, if you buy at age 65, when you are 70, you will pay whatever the company charges 70-year-olds.

*Just because you purchase the a policy from the company with the lowest rate when you become eligible, does not mean it is the best option for the long run. An agent who cares about your needs will explain how this works and get you in a plan that will be good for you for the long term, not the plan that is good for his pockets right now.  Click Here to speak with an agent who you can trust and is accredited by the Better Business Bureau.

Community Age - The premium will be the same for all persons with that plan no matter what your age is. If you buy a plan at age 65, you will pay the same premium that a 85 year old will pay.  It does not matter what your age is, everyone pays the same rate for the same plan.

*Can be good or bad, depending on your age and the age of the majority of the policy holders for that plan. For example, if you are 65 and that plan has a majority of customers who are 75 or older, then your rate will be higher.

Click Here to request a quote from an agent who you can trust and is accredited by the Better Business Bureau.

Posted under Medicare Supplement