These are health plans offered by insurance companies for people who are eligible for Medicare. On the surface, these plans seem to offer substantial benefits and cost savings over traditional Medicare. But to make a decision between these plans and traditional Medicare and supplemental health plans, you'll need to think about what's important to you in a health plan. Most plans charge a nominal co-pay for doctors' visits. Plans cover almost all hospital care that is preapproved by your doctor.
Most plans cover prescriptions, dental services and eyeglasses at little or no extra charge.
Traditional Medicare doesn't cover these services. There's little paperwork. You do not need supplemental insurance. This could mean a savings of hundreds of dollars per year. Despite the advantages, Medicare HMOs have some restrictions.