Medicare, a renowned health insurance program based in the US, provides health insurance coverage to over a million people in Alabama. All legal US citizens aged 65 and above can access Medicare health insurance by applying through a local Social Security office or through Medicare.gov.
Medicare aims to lower healthcare bills by providing health insurance for prescription drugs, hospital stays, doctor visits, and inpatient and outpatient care.
These health insurance programs feature different plans that vary from State to State. Let us look into the available plans in Alabama and how they benefit residents.
Medicare in Alabama
With the ever-growing population, Alabama is now home to more than 1.8 million senior adults aged 50 and above. Since 18% of the total population is aged 65, Medicare has become a crucial need for senior adults to manage their healthcare bills.
The annual price increment for prescription drugs with sky high hospital bills have made routine checkups more expensive than ever. To help reduce this healthcare cost in Alabama, Medicare plans in the State are designed to cover both inpatient and outpatient care.
Over a million people in Alabama are enrolled in Medicare plans. This 21.22% of the total population leverages Medicare plans to lower their out-of-pocket costs associated with healthcare expenses. Alabama residents can enroll themselves in various Medicare plans.
General Analysis | Ratings of Medicare Plan Providers in Alabama
| Insurance Company | Medicare Rating | A.M. Best rating | Better Business Bureau (BBB) rating | J.D. Power ranking |
| Aetna | 4 stars | A | A+ | 6th out of 9 |
| Anthem | 4 stars | A+ | A+ | 5th out of 9 |
| Blue Cross Blue Shield | 4.5 stars | A+ | A+ | 5th out of 9 |
| Cigna | 4 stars | A- | Not Rated | 8th out of 9 |
| UnitedHealthcare | 3.5 stars | A | A- | 4th out of 9 |
Medicare in Alabama by the Numbers
| Total number of people enrolled in Medicare | Medicare Advantage plans | Medicare Supplement Plan (Medigap) | Medicare Part D (Prescription Drug Coverage) |
| 1.091 million beneficiaries. | 57% of Alabama Medicare beneficiaries are enrolled in Medicare Advantage plans. | More than 18% residents are enrolled in Medigap plans. | About 77% (841,000) of Medicare beneficiaries have access to Part D prescription coverage About 22% (243,000) of Medicare beneficiaries in Alabama have stand-alone Medicare Part D. |
Type of Medicare Plans in Alabama
As Medicare provides complex coverage programs, it is best to learn about your options before enrolling yourself into a plan. Let us explore the available Medicare plans in Alabama and how you can enroll yourself in 2024.
If you fulfill the eligibility criteria, you can enroll yourself into the following Alabama Medicare plans.
- Original Medicare (Part A and Part B)
- Medicare Advantage (Part C)
- Medicare Part D (Prescription Drug Coverage)
- Medicare Supplement Plan (Medigap)
Original Medicare (Part A and Part B)
The standard Medicare plan, also called Original Medicare, is a fee-for-service insurance comprising two parts: Part A and B.
Medicare Part A is hospital insurance which provides coverage for inpatient care such as your hospital stay, skilled nursing facilities, hospice, and home health care. Therefore, Medicare Part A primarily provides coverage for expenses associated with basic hospital and medical needs such as semi-private rooms, meals, and medications.
In contrast, Part B provides medical coverage for outpatient care, including your doctor’s visit, emergency care, labs, medical equipment, and medical supplies. Part B Medicare coverage may also cover preventive care, such as screenings for cancer, tumors, or mental illnesses.
However, enrolling yourself in Original Medicare requires paying deductibles along with any cost incurred from inpatient and outpatient care.
But Original Medicare works as a relatively flexible plan that provides you with the benefit of accessing healthcare facilities from any Medicare collaborative hospital across the State, unlike Medicare Advantage plans that have a restricted network of providers.
Medicare Advantage (Part C)
Medicare Advantage plans in Alabama have gained popularity over the years. An astounding 60% of the total Medicare beneficiaries are enrolled in private Medicare Advantage plans. This significant number represents that Alabama residents prefer Medicare Advantage plans over other Alabama Medicare programs.
In Alabama, Medicare Advantage plans, also called Part C, are offered by private health insurance companies that collaborate with Medicare.
Medicare Advantage plans are an alternative to Original Medicare and work as an all-in-one healthcare coverage option. These plans include Medicare Part A and B coverage with additional benefits, including vision, hearing, and dental care. Advantage plan services are provided by private providers that work within a network.
Due to this, Medicare Advantage plans have a restricted network. Beneficiaries require pre-authorization or referrals to access or consult a healthcare provider outside of their network.
Some Medicare Advantage plans also provide coverage for wellness programs, gym memberships, and transportation to and from medical facilities.
Medicare Advantage plans are an excellent coverage choice if you want to have bundled coverage under one plan. Also, these plans do not have a limit for out-of-pocket expenses. In Alabama, Medicare Advantage plans cost an average of $18 per month with prescription drug coverage.
Types of Medicare Advantage Plans in Alabama
Medicare Advantage plans are of various types. These different insurance plans include the following.
- Health Maintenance Organizations (HMOs)
- Preferred Provider Organizations (PPOs)
- Special Needs Plans (SNPs)
- Private Fee-For-Service Plans (PFFS)
Rating of Alabama Medicare Advantage Plans
| Company | Cost per month | Medicare Rating |
| Devoted Health | $0 | N/A |
| Wellcare by Allwell | $0 | 3 |
| Wellcare | $5 | 2.5 |
| Cigna | $5 | 3.7 |
| Aetna | $8 | 4 |
| AARP/UHC | $9 | 4.1 |
| Humana | $18 | 4.1 |
| Viva Health | $35 | 5 |
| Blue Cross and Blue Shield of Alabama | $80 | 4 |
Medicare Part D (Prescription Drug Coverage)
Medicare Prescription Drug Coverage, also called Part D, is designed to cover the cost of prescription medications. You are eligible for Medicare Part D if you have Original Medicare. Adding Part D to your coverage plan helps lower the cost of prescription medications.
However, you must know that all Medicare enrollees are offered Part D. If you do not enroll on time, you may have to pay a late-enrolment penalty.
Moreover, private health insurance companies also provide stand-alone Part D coverage. These plans require you to pay deductibles.
Part D coverage is an excellent choice if you are enrolled in Original Medicare or if your Medicare Advantage plan lacks drug coverage.
However, if you don’t require prescription drugs but may need over-the-counter medications, you can enroll yourself in a low-premium Part D plan to avoid late enrollment penalties in the future.
Medicare Supplement Plan (Medigap)
Medicare supplement plans, also called Medigap, are optional plans providing coverage for what’s not covered under Medicare Part A and B. These plans provide additional health insurance for your out of pocket expenses.
In Alabama, there are ten Medicare supplement plans. However, these plans are standardized by the federal government due to the fact that they don’t offer the same benefits. Consequently, you have to look into your provider’s supplement plan before enrolling.
The most popular Medigap plan, Plan B in Alabama has the highest number of beneficiaries numbering 91,194. The second most popular Medigap plan in Alabama is plan F with 69,786 beneficiaries.
Other common Medicare supplement plans are Plan G and N, with 24,000 and 10,989 enrollees, respectively.
Medigap plans in Alabama vary in terms of cost as it depends on the level of coverage. However, the estimated cost is between $115 to $175.
Cost of Medicare Plans in Alabama 2024
The cost of Medicare plans in Alabama varies depending on your coverage and the type of plan you choose. For example, you pay deductibles and premiums for Original Medicare Part A, while the cost of Part B depends on your income.
In contrast, Medicare Advantage plans have different costs as it depends on the provider, your coverage, and additional benefits.
In Alabama, the average monthly premium for the Medicare Advantage plan is $18, with prescription drug coverage in 2024. The monthly premium in 2023 was $11.24, a decrease from $11.99 in 2022. Thus, prices significantly vary from plan to plan and provider to provider.
Let us look into the estimated costs for Medicare plans in Alabama.
| Original Medicare | Medicare Advantage | Medigap | Part D |
| Part A premium: $0 to $505 per month. Deductible: $1,632 each benefit period. Part B premium: $174.70 monthly and up (income-based) Deductible:$240 each plan period. | Average monthly premium in 2024 for a Medicare Advantage plan in Alabama is $15.09. | $115 to $175 | Income-based; varies by plan Deductible:No more than $545 in 2024. |
Eligibility and Enrollment for Medicare in Alabama
What makes you eligible for Medicare in Alabama? Medicare has the same eligibility criteria across all the States. You qualify for Medicare if:
- You are 65 years old or above
- You have a medical disability
- You have end-stage renal disease (ESRD)
- You have amyotrophic lateral sclerosis (ALS)
Besides this, you must also be approved by the Social Security Administration for either your age or disability to be eligible for Medicare.
Enrolment Period for Medicare Plans in Alabama
Medicare has two enrollment periods: an initial enrolment period (IEP) and a general enrolment period (GEP).
The initial enrollment period is 7 months, starting 3 months before you turn 65. If you miss your IEP, you can access Medicare by applying for it during the general enrollment period (GEP) between January 1st and March 31st every year.
During the general enrollment period you can also make changes to your Medicare plans. For example, if you have Original Medicare and you want to switch to a Medicare Advantage plan, you can do so during this period.
Applying for Medicare in Alabama
You can apply for Medicare in Alabama online, through mail, or by visiting your nearest Social Security Office.
If you have been receiving your Social Security benefits, you will automatically be enrolled in Parts A and B. You receive your Medicare ID in the mail before you turn 65th.
However, if you’re new to Medicare, you can sign up during the initial enrollment period, which begins three months before your 65th birthday.
For a straightforward procedure, you can seek professional advice from Silveredge’s licensed advisors. They help resolve Medicare queries and streamline the enrollment procedure for you.
Helpful Resources for Medicare in Alabama
Before enrolling in a Medicare plan, you must become familiar with each and every aspect of a Medicare coverage program.
In Alabama, a number of organizations provide guidance for Medicare programs. Contacting these agencies can help you make an informed decision.
| Organization | How you can get help | Website & Contact Info |
| Alabama Area Agencies on Aging | Alabama Area Agencies on Aging help senior adults access resources and services that support their independence and enhance their quality of life. These agencies manage various programs and assist other organizations for senior welfare. They also provide personalized counseling on Medicare. | Website | 205-333-2990 |
| Alabama Senior Medicare Patrol | The Alabama SMP program aims to educate senior adults on detecting and preventing Medicare fraud, errors, and abuse. You can address your concerns about potential fraud by telemarketers or healthcare providers. This agency also helps clarify any errors in Medicare statements or related bills. | Website | 800-243-5463 |
| State Health Insurance Assistance Program (SHIP) | SHIP program aims to provide guidance to seniors seeking advice regarding Medicare programs. Volunteers at SHIP offer free Medicare related guidance. They help resolve your Medicare enrolment queries. They can also help with Medicare claims and appeals. | Website | 800-243-5463 |
Securing Your Health in the State of Alabama With Silveredge
Alabama, a dynamic community of more than 1.8 million senior adults, offers various senior healthcare facilities to make life easier for the residents.
Medicare is one such facility in Alabama that provides healthcare coverage to people aged 65 and above. With various Medicare plans such as Original Medicare, Medigap, and Medicare Advantage plans, making a wise decision becomes daunting.
With Silveredge, senior adults can navigate through the complex Medicare programs to make the most suitable decision regarding their healthcare coverage. Therefore, navigating through Medicare doesn’t have to be your solo journey—contact Silveredge for the informed support you deserve!
