Page 4 - Cover Letter and Evaluation for Dr. Herman Kensky

number of years that someone is younger than 75. For someone who’s 68, the discount equals
7 years x 3%, or 21%. The discount is reduced by 3% each year until you turn 75.

Consequently, if you acquire an AARP policy, you may have two increases a year – one a 3%
increase associated with the reduced discount (until you turn 75) and the other an increase for
health care inflation. AARP policies can be good choices if they are attractively priced, but you
should be aware that because of the reduced discount each year until you are 75, your
premiums may rise more quickly than with many other insurers. After you turn 75, the
UHC/AARP premiums will likely increase more slowly.

In addition to discounts, some insurers provide extra benefits such as membership in Silver
Sneakers, which give you access to more than 12,000 gyms and health clubs nationally.
Appendix B1 lists the toll-free numbers of the companies that sell Medigap Plan F in Georgia.
Virtually all insurers sell Plan F, but none of the companies sell every plan.

Rx Drug Plan Coverage

You will also need to enroll in a Part D stand-alone plan. Occasionally people who do not take
any Rx drugs mistakenly think that they are not required to enroll in a Part D plan, but if they do
not enroll they run the risk of incurring lifetime late-enrollment penalties.

People who do not currently take any prescription drugs should enroll in the lowest-premium
Part D plan. In Chatham County that’s the Envision Rx Plus Plan, which has a $12.60 monthly
premium ($151.20 a year). This plan has a $300 deductible in 2018, which is lower than
Medicare’s maximum allowable deductible of $405.

If at some point you do need prescriptions filled in this plan, you will likely get the lowest prices
at one of the plan’s preferred pharmacies. In zip code 31411 the preferred pharmacies are CVS,
Kroger, Quick Rx Drug, and Village Walk Pharmacy.

Dr. Kensky, please let me know if you have any questions. There are a couple of things to keep
in mind as you make the transition to Medicare as your primary coverage. On your initial visits
to your new doctors after January 1, show the office staff your enrollment cards for Medicare
A&B, your Medigap policy and your Part D stand-alone plan. That will help to avoid any billing
confusion. Also, you’re entitled to a free “Welcome to Medicare” physical (see page 11 of the
evaluation), but you’ll probably have to request it.

Sincerely,

David Armes, CFP®

Attachments
WDA:12115

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