Art of Insurance Blog
Millions of people are bracing the impact of the pandemic in their everyday lives. Some of them have lost their jobs in the last five months. Others might be contending with reduced working hours and lesser income. As a result, almost every American family is trying to cope with the situation.
Many of the families are implementing measures to cut their daily expenses and sticking only to those essentials. One of the options that they are pondering on is to lower their insurance premiums. Good news to all Medicare Advantage plan holders! There will be a reduction in premium payments.
Lesser Monthly Premiums Next Year
Next year will be a good year for policyholders of Medicare Advantage. Federal officials are expecting that Americans will pay less for their Medicare Advantage monthly premiums.
It is predicted that insurance dues will decrease from $23.63 per month to only $21 every month in 2021. Policyholders will save $2.63 every month or nearly $32 annually. And considering the current economic situation, any form of savings is good news for plan holders.
The average monthly premium continues to move on a downward trend in the last three years. In 2018, the average monthly premium was $29.81. It went down to $26.87 in 2019 and further decreased to $23.63 this year.
The monthly premiums next year are expected to be the lowest Medicare Advantage monthly premium since 2007. Since 2017, the average monthly premiums have declined by at least 34 %.
More Enrollees in Medicare Advantage
As the average monthly premium plummets, experts forecasted that there would be an increase in the number enrollees in Medicare Advantage plans next year. It is predicted that an estimated 42% of Medicare beneficiaries will be getting their Medicare Advantage plans for 2021. Since 2017, Medicare beneficiaries who enrolled in Medicare Advantage plans have skyrocketed to about 44%.
Moreover, there is a steady increase in the number of available Medicare Advantage plans in the last couple of years. In 2017, there are about 2,700 Medicare Advantage plans. By next year, that figure will increase by 76.6% or at least 4,800 available plans. Likewise, the number of Medicare Advantage plans available in each county will also increase from an average of 39 plans this year to 47 plans in 2021.
Medicare Advantage will continue to be popular among Americans in the upcoming years. Plan holders are expecting to pay less but more available plans by next year. Medicare Advantage will remain a hot commodity, especially among Medicare beneficiaries. Getting better health insurance coverage right now is a priority among Americans.
At Art of Medicare, we put our clients first by offering them policies that they can afford. Having insurance is a necessity nowadays and we're here to help you out. Learn more about our products and services by calling our agency at (702) 776-7726. You can also request a free quote by CLICKING HERE.