One of our advisors sat down with a client last month who'd been paying into the same Medicare supplement for nearly a decade. Good coverage. No complaints about the plan itself. But the premium had crept up year after year, and the latest increase was hard to ignore.
"I've thought about switching," the client said. "But I get a gym membership through my plan, and I don't want to lose that."
The math, however, told a different story.
When we ran the numbers, that gym perk was effectively costing this client well over a hundred dollars a month in premium difference compared to similar plans from other carriers. A standalone senior gym membership? Around $25 to $50 a month at most. The math wasn't even close.
Why Most People Just Keep Paying
Medicare supplement premiums aren't locked in. Your carrier can raise rates, and they do, driven by factors like medical inflation and rising healthcare utilization across an aging insured population. Most people respond the same way this client almost did: they notice the increase, they wince, and they keep paying.
It isn't a lack of diligence; it's a sense of loyalty. You picked this plan for a reason. It's been reliable. And switching can feel uncertain, especially if your health has changed since you first enrolled. That concern about medical underwriting, where a carrier reviews your health history and can decline you based on new conditions, is one of the biggest reasons people stay put even when the numbers no longer make sense.
But here's what changes the equation: Medigap plans are standardized by the federal government. A Plan G from one carrier covers exactly the same things as a Plan G from another carrier. The only real difference is the premium. That's worth sitting with for a moment.
What We See in Real Conversations
We've had clients save meaningful money by simply switching carriers on the same plan letter. One client recently moved to a different plan with a different carrier and cut their monthly cost significantly. Another had been with the same company for years, got hit with a major rate increase, and switched to a new plan at a much lower premium.
Same coverage. Lower cost. No gap in protection.
And this is the part most people miss.
Switching rules depend on your state and your situation. In many cases, you will need to go through medical underwriting, which means answering health questions and potentially being declined if you have certain conditions. That's a real consideration, not something to brush past.
Some states offer guaranteed-issue windows that let you switch with no health questions at all. In Nevada, for example, certain windows allow for easier transitions, but because rules vary significantly by state, you must verify your specific eligibility. Arizona has more limited guaranteed-issue protections after your initial Medigap open enrollment period, making timing and health status even more important. This is exactly why it's worth sitting down with someone who knows the details for your state and situation.
Do the Math on That Gym Membership
If a wellness perk is part of why you're staying with a more expensive plan, run the numbers. A senior fitness membership through a local gym or community center typically costs $25 to $50 a month. If switching carriers saves you $75 or more each month, you come out ahead and you still get your gym time.
Don't let a perk keep you in a plan that's overcharging you.
What to Do Next
- Pull out your latest Medicare supplement statement and note your current monthly premium.
- Check what you were paying a year ago, and two years ago if you still have records.
- Compare quotes on your current plan letter from at least two other carriers. You can learn more about Medicare costs at medicare.gov, or work with a Certified Medicare Planner like the team at 123Easy Medicare (123easymedicare.com) or American Retirement Advisors (americanretirementadvisors.com) for a no-cost comparison.
- If the numbers look better elsewhere, ask about your guaranteed-issue options and any medical underwriting requirements before making a move.
If your premium has gone up and you're wondering whether you can do better, that's exactly what we help people figure out every day at American Retirement Advisors. Give us a call. No pressure, no pitch. We'll run the numbers with you and see if there's a better fit.
Easy Eddie's Take
One thing I want to flag here: timing is everything when switching Medigap plans. If you wait until after a rate increase frustrates you into action, you might be a year or two older with a new health condition on your record. That can make underwriting harder or even close the door on certain carriers. The best time to shop your plan is when you're healthy and your current rate is still manageable, not after you're backed into a corner. Set a reminder every year to pull fresh quotes, even if you're happy with your coverage. It's like checking the air in your tires. You do it before there's a problem, not after you're on the side of the road. Call American Retirement Advisors and they'll walk you through your options, your state's rules, and whether your health situation opens or closes any doors. No cost to you.