The best Medicare supplement insurance companies provide the greatest coverage for the lowest price, and greatly differ depending on your location, age, and gender. Furthermore, choosing a great company depends significantly upon your perspective, and what you find important. As a Medicare supplement broker in 48 states, I have compiled a list of the best Medicare supplement insurance companies based on the experiences of over 5000 Medicare recipients.
Disclaimer: Every insurance company offers the same exact plans with the same benefits for a different price. This is important because if all plans are created equally, and they are, the only differing factor is price, which happens to be the single most important item to consider when choosing a plan. Pricing greatly depends on location, age, and gender, which means every person will likely have a unique answer when asking the question: What is the best Medicare supplement insurance company? That being said, below are the top 5 Medicare supplement insurance companies based upon customer service, ease of use, competitive prices, and financial stability.
Mutual of Omaha: Mutual of Omaha has a significant amount of customers, which means they understand how to efficiently serve their needs. Their customer service and claims processing is first class, and their financial stability is unmatched. Furthermore, they tend to have very competitive prices. Many agents will advise you to purchase elsewhere due to past price increases. However, historical price increases were necessary as the economy was in a recession and even with the price increases, their rates are lesser or equal than most competitors. From a customer perspective, Mutual of Omaha should always be a consideration when shopping.
AARP: AARP has the most well recognized brand among all insurers. Pricewise, they are extremely competitive in some states, and more expensive in others. This company has excellent customer service and should definitely be considered a frontrunner. Furthermore, their pricing methodology is unique and more predictable, which is nice considering some companies have huge price increases depending on their risk pools. In addition, AARP has unique underwriting guidelines, which can make purchasing a plan much easier for people who are healthy, but have some health issues.
Blue Cross: Most Medicare recipients have been insured by Blue Cross or Blue Shield, or BlueCrossBlueShield at some point in their lives, which makes this a comfortable top pick. Blue Cross is a first class company, but recently their customer service has been a little suspect. Their claims processing is unmatched, but they could use some additional help with their back office support. In some states they are extremely competitive based upon price, but in others they are quite expensive. Keep in mind Blue Cross is operated by different insurance companies depending on the state, so just because they are great in some areas does not mean they excel everywhere.
Standard Life & Accident: Standard Life & Accident is an excellent company, but few consumers are familiar with the name. However, they have an “A” (excellent) rating with A.M. Best and are known for having Ritz Carlton service. This company is dependable, easy to work with, and physicians and hospitals love them. They consistently have the lowest price for High deductible plan F in every state and often have very competitive prices for standard plans as well. Standard Life & Accident is an excellent choice by any standard.
Gerber Life: Gerber Life is another “A” rated company with excellent prices. They have been a well-known company for years due to their baby food and child related products. However, they are an outstanding insurance company as well. They have very low prices in some areas, but recently have taken a few pretty steep price increases. Over the past few years this was the best choice for many Medicare recipients, but today they are slightly overpriced in most areas. Their customer service and claims administration is completed by Mutual of Omaha, which means it is first class.
Family Life: Family Life is an excellent company to work with, and has very low prices in many areas making them a great choice for some people. They are a smaller company that isn’t as well known as the big players, and their “B+” rating is a good demonstration of this. However, everyone who has purchased a plan from this company has nothing but great things to say and can attest to their quality performance. Don’t be surprised if Family Life is a major player in the near future.
The Rest: There are several fly-by-night companies that offer Medicare supplement insurance. They are popular for a year or two before they take significant price increases and are never heard from again. Unfortunately with these companies you never know what you are going to get. Some have excellent service and maintain great prices while others are very difficult to work with and take steep price increases after you are already locked into a plan.
About the Author: Cris Brines is the CEO of Medicare Supplement Shop, which is one of the leading enrollment centers for people who are turning 65 and seeking advice.
