Can My Insurer Cancel My Medicare Plan?

Can My Insurer Cancel My Medicare Plan?

Just the idea of being without health insurance is intimidating to most Americans, especially as the cost of healthcare only seems to rise year by year. Unfortunately, it is possible to lose your Medicare even when you don’t intend to. 

There are two main circumstances in which you could lose your Medicare Benefits: 

Cancellation Due to Nonpayment 

Nonpayment is one of the most common reasons that an insurance plan may be cancelled. If you fail to pay your Medicare premiums, you may find your Medicare plan cancelled. This applies to both Original Medicare and Medicare Advantage plans. To avoid your policy being cancelled due to nonpayment, it helps to set up automatic payments. Also ask about ways you can save money, as payment plans are available for most individuals who qualify for Medicare. 

No Longer Qualifying for Medicare 

Although it is somewhat rare, you can have your Medicare plan cancelled if you no longer qualify for Original Medicare or Medicare Advantage. Individuals automatically become eligible for Medicare Advantage around the time they turn 65 but other qualifying circumstances—such as disabilities and illnesses like End Stage Renal Disease (ESRD) may change. 

Be sure to speak with your insurance agent about your qualifications and any questions you may have about your Medicare coverage. 

What Should I Do if My Medicare is Cancelled? 

While having your Medicare plan cancelled can be nerve-wracking, it’s not the end of the world. You can often find another Medicare Advantage policy to cover your needs. If you no longer qualify for Original Medicare or Medicare Advantage, there are other ways to receive health insurance such as applying for social security benefits or getting health insurance through your or your spouse’s employer. 

Speak with your insurance agent if you are concerned about your eligibility for Medicare. There are many venues geared to help Medicare users to pay for their premiums.  

Can I Cancel My Medicare Plan? 

Just as an insurer may cancel your Medicare plan, you can also choose to cancel or switch your Medicare coverage. If you are unhappy with your Medicare Advantage plan, you can unenroll and enroll in a new plan during the Open Enrollment period from January 1st to March 31st. Unfortunately, you cannot change your plan outside of this period and instead must wait until the beginning of the year to make any changes to your Medicare Advantage plan.