Many people often ask me how to cancel their Medicare Supplement policies when switching to a new company. It is advisable to re-evaluate and change your Medicare Supplement plans every 2-3 years, as rates, situations, etc. change from time to time. Since coverage with Medicare Supplements is completely standardized, you can usually save a good bit of money when you change plans.
When you do change your Medicare Supplement plan to a new company, it is essential to contact your “old” company to cancel the plan. This is NOT done automatically.
With Medicare Part D plans, the plans that cover prescription drugs, Medicare terminates the “old” plan when you sign up for a “new” plan. However, with Medicare Supplements (aka Medigap), it does NOT work this way. You have to actually contact the “old” company to terminate the plan. Typically, the agent that signed you up for the plan can do this for you, but the easiest and best way to do it is to call the company directly. Below, we’ve listed some important things to remember regarding cancelling a Medicare Supplement plan:
- First and foremost, make sure that your new plan has been approved before ever cancelling an old plan. It can be difficult, or impossible, to get a plan back once you have cancelled it.
- Once you are sure that your new plan has been approved and/or have your new insurance card in hand, you can cancel your “old” plan by calling the toll-free number on your insurance card. You will likely need your policy number, which should also be on your insurance card.
- With most companies, YOU must do this. For your protection, many companies now do not allow any agents to cancel this for you, and as mentioned above, it is not done automatically when you apply for a “new” plan.
- Make sure that you set the cancellation to be effective the same date that the “new” plan starts. This will ensure that you have no overlap or lapse in coverage.
- Lastly, you should compare your Medigap plan a minimum of every 2-3 years. This will ensure that you are not paying too much for your coverage.
If you have any questions or want to discuss the process for comparing Medigap options, you can call us at 877.506.3378 or reach us on our website: Medicare-Supplement.us.