By Tami Noll Russo, CPA, CFP, CLU

This year’s open enrollment period for Medicare began Oct. 15, 2016, and runs through Dec. 7, 2016. Because Medicare plans can change coverage each year and because your particular health situation may have changed, you should spend some time to ensure that your health insurance coverage best meets your needs.

Medicare.gov has a blog on picking a Medicare supplement. They make it all sound so easy:

• Go to medicare.gov
• Put in your ZIP code
• Input all your medication and dosages
• Review the plans projecting the least out of pocket expenses each year
• Pick a plan

It’s not.

Even financial professionals can get stuck on step four? For instance, my input gave me 27 Medicare Advantage plan results plus traditional Medicare. I am both a CPA and a CFP, and I’m overwhelmed. Does this mean the online system is really asking individuals to read the fine print for each insurance plan and chose the correct one for them? Let me share with you a much less stressful alternative: consult with an independent Medicare licensed insurance broker.

In the end you will pay the exact same premiums, regardless of whether you use the website or a licensed professional. In addition to being state licensed, agents must pass a Medicare Ready exam each year plus complete company-specific training with each Advantage plan they represent. The best way to find a Medicare broker is to ask for referrals from friends or family members as well as you financial advisor. If you don’t have any referral sources, check out the Pennsylvania Department of Aging’s APPRISE Program, which is licensed by the federal government to provide insurance counseling services to seniors. Brokers don’t charge and are not permitted to charge a consultation fee. They receive a small commission for each plan they sell. In addition to their understanding of the medicare.gov website, they have specific knowledge regarding other clients’ customer service experiences. They also understand local issues, such as how hospital mergers might affect a plan.

When looking for the right Medicare insurance professional, you may also want to ask the following questions:

• How long have you been selling Medicare supplements and Medicare Advantage plans?
• How many insurance carriers are you appointed with?
• Can you share a copy of your insurance license?
• How are you compensated your various plans?

Unlike third-party resources such as PICPA’s CPA Locator, there does not appear to be a website that lists licensed Medicare brokers in any specific area.

To get the most benefit from meeting with one of these professionals, be prepared to provide them with the following:

• Medications, including names, dosage, and frequency
• Pharmacy preference
• Physicians, including names, addresses, and specialty
• Planned or expected surgeries or procedures, such as knee replacement or cataract surgery

This isn’t the time to be shy. The more information you can provide, the better the result. Are you being treated for cancer, heart disease, diabetes? Do you live paycheck to paycheck or do you have a safety fund? Some Advantage plans have no monthly cost, but if you become ill it may cost you $6,000 out of pocket.

The knowledge these professionals share is priceless. You may love the corner pharmacy, but a broker could point you to a more affordable option. What about next year? Health care always seems to be a moving target. Each fall you could simply call your broker, disclose any health/medication changes, and then ask about plan options. Or you could spend countless hours on the Internet and reading mailings to figure it out for yourself.

Tami Noll Russo, CPA, CFP, CLU, is a consultant with Noll Financial Services in Middletown, Pa. Tami is a PICPA member who serves on PICPA’s CPA Image Enhancement Committee, is chair of South Central Chapter’s Personal Financial Planning Committee, and is a Trustee of the Scholarship Fund. She is also a past president of the South Central Chapter.
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