Medicare Supplement

Medigap shopping in Glendale: how to compare the same plan letter across California insurers

GLENDALE, Calif. — If you live in Glendale and you're weighing a Medicare Supplement policy, the trickiest part isn't picking a plan letter. It's figuring out why the very same letter — say, Plan G — is sold by more than a dozen insurers in California, each with its own price and its own rules for raising that price over time.

Here's the good news: Medigap plans are standardized by federal law. A Plan G from one insurer covers the exact same Medicare-approved costs as a Plan G from another. What differs is how the insurer prices it, whether it offers household discounts, and how strictly it looks at your health if you're applying outside a guaranteed-issue window.

The plan letters you can still buy

If you became eligible for Medicare on or after January 1, 2020, you can buy Plans A, B, D, G, high-deductible G, K, L, M and N. Plans C and F are only sold to people who were eligible for Medicare before that date. That rule is federal, so it applies whether you shop in Glendale, Pasadena or anywhere else in Los Angeles County.

The letter tells you the coverage. So a Plan N from one company pays the same share of your Part A and Part B cost-sharing as a Plan N from any other company. That's what "standardized" means, and it's the foundation for any honest comparison.

Who sells Medigap in California

The table below lists every insurer currently selling Medigap policies in California and which letters each one offers. In alphabetical order, the insurers are: AARP - UnitedHealthcare Insurance Company, AFLAC, American Retirement Life Insurance Company (CIGNA), Anthem BlueCross - California, Bankers Life (Underwritten by Washington National Insurance Company), Blue Shield of California Life & Health Insurance Company, Continental Life Insurance Company of Brentwood, Tennessee (Aetna), Everence Association Inc., Humana (Humana Insurance Company), Insurance Company of North America, Lumos Insurance, Mutual of Omaha (United World Life Insurance Company), State Farm Mutual Automobile Insurance Company, United American Insurance Company, and USAA Life Insurance Company.

Not every insurer sells every letter. For example, some offer high-deductible Plan G and some don't. The table shows which letters each carrier files in California, so you can quickly narrow your list before you look at any price.

The three pricing methods (this is where premiums really differ)

Two insurers can sell the same Plan G and quote very different premiums because they use different pricing methods. In California, you'll see three:

• Attained-age rated. The premium is based on your current age and typically goes up as you get older. It often looks lowest at 65 and climbs from there.
• Issue-age rated. The premium is based on the age you were when you bought the policy. It doesn't go up because you got older, though it can still rise for inflation and claims.
• Community-rated. Everyone in the state who has that policy pays the same base premium, regardless of age.

California also has a special rule sometimes called the "birthday rule." Once a year, around your birthday, you can switch to an equal or lesser Medigap plan with another insurer without medical underwriting. That gives Glendale residents a yearly window to shop the same letter across carriers.

Rate history, household discounts and underwriting

Three more things belong in any honest comparison:

Rate history. Ask how much the insurer has raised premiums on this plan letter over the last few years in California. The California Department of Insurance publishes a Medicare Supplement rate guide that shows recent increases by company. A slightly higher starting premium from a company with steady rates may age better than a lower one from a company with sharp increases.

Household discounts. Some insurers offer a discount if your spouse or another adult in the household also has a policy with them — or sometimes just lives with you. The size, the rules and whether the discount even exists vary by company, so it's worth asking directly.

Medical underwriting. During your six-month Medigap Open Enrollment Period — which starts the month you're 65 and enrolled in Part B — insurers must sell you any plan they offer at their best available health rate. Outside that window, and outside special guaranteed-issue situations, most insurers can ask health questions and decline you or charge more. If you're past your open enrollment and thinking of switching, ask about underwriting before you fall in love with a quote.

How to compare, step by step

1. Pick your letter first (G, N, high-deductible G, and so on) based on the coverage you want. 2. Use the Medicare.gov Medigap policy search to see which California insurers sell that letter and get sample premiums for your ZIP code. 3. Cross-check with the California Department of Insurance's Medicare Supplement rate guide for rate-increase history. 4. Call two or three insurers (or an independent agent representing several) and ask about pricing method, household discount, and any underwriting questions if you're outside open enrollment. 5. Confirm the policy is guaranteed renewable — in California, standardized Medigap policies are, as long as you pay the premium.