In general, PPO networks tend to be broader, including more doctors and hospitals than HMO plans, giving you more choice. However, networks will differ from insurer to insurer, and plan to plan, so it’s best to research each plan’s network before you decide.

Premiums. You have to enroll in Medicare Parts A and B to buy Medicare Part C, and you will always have to pay the Medicare Part B premium. The Medicare Part B premium is typically $148.50 a month in 2021, but it may be higher if you earn a higher income. Beyond that, prices can vary greatly by plan.

The 8 Best Medicare Advantage Companies

Best Medicare Advantage Plan Providers of 2021

• Best Reputation: Kaiser Foundation Health Plan.
• Best Customer Ratings: Highmark Blue Cross Blue Shield.
• Best for Extra Benefits: Aetna Medicare Advantage.
• Best for Large Network: Cigna-HealthSpring.
• Best for Promoting Health for Seniors: AARP/UnitedHealthcare.
• Best for Variety of Plans: Humana.

What to look for when choosing a Medicare Advantage plan

1. Look at what doctors and hospitals are in the plan’s network. Provider networks can change each year and even mid-year.
2. Look at drugs and your usage when selecting plan.
3. Consider the plan’s maximum out-of-pocket costs.
4. Compare plans.

Medicare Supplement insurance plans work with Original Medicare, Part A and Part B, and may help pay for certain costs that Original Medicare doesn’t cover. In contrast, Medicare Advantage plans are an alternative to Original Medicare. If you enroll in a Medicare Advantage plan, you’re still in the Medicare program.

Medicare Advantage plans can serve as your “one-stop” center for all your health and prescription drug coverage needs. Most Medicare Advantage plans combine medical and Part D prescription drug coverage. Many also coordinate the delivery of added benefits, such as vision, dental, and hearing care.

A Medicare Advantage plan may be a better choice if it has an out-of-pocket maximum that protects you from huge bills. Regular Medicare plus a Medigap insurance plan generally allows you more choice in where you receive your care.

If I enroll in a Medicare Advantage plan or a Medigap plan, do I still have to pay my Medicare Part B premium? Yes. You must pay your Medicare Part B premium when enrolled in either type of plan. You’re typically also responsible for a monthly premium for your Medigap coverage.

If you have Original Medicare, the government pays for Medicare benefits when you get them. Medicare Advantage Plans, sometimes called “Part C” or “MA Plans,” are offered by private companies approved by Medicare. Medicare pays these companies to cover your Medicare benefits.

The average premium for a Medicare Advantage plan in 2020 was $25 per month. Although this is the average, some premiums cost $0, and others cost well over $100. For more resources to help guide you through the complex world of medical insurance, visit our Medicare hub.

At any point during your first year in a Medicare Advantage plan, you can switch back to Original Medicare without penalty. If you left Medigap for Medicare Advantage, your trial right allows you to switch back to your Medigap policy.

Medicare Advantage Pros and Cons

The takeaway. Medicare Part C plans, also known as Medicare Advantage plans, are optional insurance plans that offer the benefits of both original and additional Medicare coverage. Medicare Part C is a great option for people interested in coverage for prescription drugs, vision and dental services, and more.

In general, though, Medicare Advantage costs less upfront and potentially more overall if you need lots of medical care. Many Medigap plans have higher upfront costs but cover most if not all of your expenses when you need care.

Certain Advantage plans are called free because they offer a $0 monthly premium to be enrolled in the plan. This makes zero premium Medicare Advantage plans an attractive offer for those looking to save money on monthly Medicare costs.

Keep in mind that Medicare Advantage plans are offered by private insurance companies which generally do business to make a profit. In order to offer $0 premium plans, they may charge in other ways, such as copayments/coinsurance. Some Medicare Advantage plans have both $0 premiums and $0 deductibles.

Below are the most common types of Medicare Advantage Plans.

• Health Maintenance Organization (HMO) Plans.
• Preferred Provider Organization (PPO) Plans.
• Private Fee-for-Service (PFFS) Plans.
• Special Needs Plans (SNPs)

With Original Medicare, you can go to any doctor or facility that accepts Medicare. Medicare Advantage plans have fixed networks of doctors and hospitals. Your plan will have rules about whether or not you can get care outside your network. But with any plan, you’ll pay more for care you get outside your network.

Medicare Supplement insurance plans can work alongside Medicare (Part A and Part B) and may help cover costs that Medicare doesn’t pay, such as coinsurance, copayments, and deductibles. Each policy covers the same benefits as other policies of the same name, no matter which insurance company is offering it.