If you’re a US citizen living overseas, particularly if you’re 65 or older, Medicare may still be a consideration for you. In this article, I will discuss Medicare Advantage plans for expats, including enrollment opportunities and important considerations.
To provide you with expert insights, I reached out to Ron Elledge, a Medicare Advantage expert for expats. Ron has been working in the Medicare field for 17 years and has written a popular book called “Medicare Made Easy for Expats and Frequent Travelers” based on his own experiences living internationally for 23 years.
The annual enrollment period for Medicare Advantage ends in December; however, there is another opportunity to make changes to your plan. In January, there is an open enrollment period called “Medicare Advantage open enrollment period” (MAoEP). During this three-month period (January to March), individuals who have a Medicare Advantage plan can switch to a different plan or return to original Medicare and join a stand-alone Part D prescription drug plan.
This is especially significant for expats who may have realized that their current Medicare Advantage plan doesn’t meet their needs while living overseas. This open enrollment period allows individuals to explore and switch to advantage plans that offer better coverage for their international lifestyle.
Medicare Advantage plans, also known as Part C plans, are offered by private insurance companies approved by Medicare. These plans combine the benefits of Parts A and B (original Medicare) and often include prescription drug coverage (Part D) as well.
One of the misconceptions about Medicare Advantage plans is that they are less reliable than original Medicare or supplemental plans. However, according to Ron Elledge, customer satisfaction ratings for both types of plans are consistently high.
Medicare Advantage plans are more tightly regulated than other Medicare options. Agents must undergo specific training and obtain certification every year to sell these plans. Additionally, strict rules and regulations govern the marketing and sales of Medicare Advantage plans, including the requirement to record and store conversations about advantage plans. This level of oversight ensures consumer protection and reinforces the credibility of Medicare Advantage plans.
When selecting a Medicare Advantage plan, it’s crucial to consider your specific needs as an expat. This includes the coverage you require while living overseas and the availability of doctors or healthcare providers in your location. Many Advantage plans offer coverage outside of the US, but it’s important to review their evidence of coverage to ensure it aligns with your needs.
If you frequently travel within the US, consider advantage plans that allow you to access in-network doctors across the country. While some plans may have limitations on coverage outside of their service areas, others have expanded their network to provide out-of-network coverage. Take time to research and find a plan that suits your lifestyle and location.
To be eligible for Medicare, you must establish residency in the US, with the intent to continue living within its geographic limits. Maintaining a valid US mailing address is often the primary requirement for residency, as stated by Social Security. Medicare and Social Security go hand in hand, and any changes to your address with Social Security will affect your Medicare coverage.
While living overseas, you must follow certain guidelines to maintain your US residency. You should retain a US mailing address, maintain relationships with family and friends in the US, and maintain financial ties, such as a US bank account and filing US income taxes. These actions demonstrate your intent to maintain your US residency.
It’s worth noting that you don’t need to physically reside in the US for a minimum period of time as long as you don’t spend more than six months out of the country without a strong indication of maintaining your US residency. However, if you plan to be out of the country for an extended period, it’s essential to understand the limitations and potential implications.
In addition to the January open enrollment period, there are other special enrollment periods for Medicare Advantage plans. One such period is the “Moving Special Enrollment Period,” which allows individuals to enroll in a different Advantage plan when they move from one area to another. If you’re an expat moving to a new location within the US, this period provides an opportunity to choose an advantage plan that aligns with your new area’s coverage.
It’s important to make informed decisions during these enrollment periods to ensure you have the appropriate coverage while overseas. Remember that specific criteria must be met to change plans, and it’s advisable to consult with an expert or Medicare consultant to navigate the process effectively.
If you’re still working and have health coverage through your employer, you may delay enrolling in Medicare Part B (medical insurance). However, you should enroll in Medicare Part A (hospital insurance) as soon as you’re eligible.
If you delay Part B coverage and subsequently lose your employer health coverage, you must enroll in Part B during a special enrollment period. Failure to enroll within this period will result in late enrollment penalties. It’s crucial to consider your coverage options carefully to avoid incurring penalties and to ensure continuous health coverage.
In conclusion, expats who are eligible for Medicare have several opportunities to make informed decisions about their coverage, including Medicare Advantage plans. Understanding the enrollment periods, residency requirements, and special criteria for plan changes is vital for maintaining appropriate health coverage while living overseas. Consulting with experts like Ron Elledge can provide valuable insights and guidance for navigating the complexities of Medicare Advantage plans for expats.
Ron’s book is titled Medicare Made Easy: What Expats, Frequent Travelers, and You Need to Know and is available thru the International Living bookstore: https://www.ilbookstore.com/medicare-2023
You can contact Ron through his website: https://ronelledge.com/askron/
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