31 MAY 2018 · Why is Medicare Advantage so much cheaper then Medigap coverage? Don't they do the same thing?
Yeah.....no. Actually, not even close.
I got this question in my office the other day, and I wanted to help, because this is a big decision.
The simple truth is that Medicare Advantage is much closer to Original Medicare. There are real differences with Medicare Advantage such as an Out Of Pocket Maximum, and the bundled Part D benefit, but overall, the two plans are very similar.
Medicare Advantage plans do not replace Medicare, they build on it. Medicare Advantage has to offer every benefit that original Medicare offers by law so basically, it will be a mirror copy with some add-ons. There are good things about Medicare Advantage plans, real, tangible benefits, such as an Out Of Pocket Maximum, and the bundled Part D benefit, but it would help you tremendously to know exactly what you are getting.