1. Mutual of Omaha’s Medicare Supplement Overview
Jan-19
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2. Medicare
Jan-19
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3. Medicare A social insurance program established in 1965
Provides health coverage to almost 47 million people and projected to double to 80 million by 2030*
People age 65 and older
People who are disabled
People who are in permanent kidney failure
Individuals apply 3 months prior to turning age 65
*Henry J Kaiser Foundation November 2010
Jan-19
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4. Medicare Basics Part C Traditional Medicare Part A Part B Part D
Medicare Advantage
Part A
Hospital Insurance
Part B
Medical Insurance
Part D
Prescription Drug
Coverage
Jan-19
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5. Medicare Part A
Most people receive Part A premium free because they or a spouse has 10 years or more of Medicare-covered employment
People with less than 10 years of Medicare-covered employment can still get Part A but will have to pay a premium
Jan-19
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6. Part A Coverage Part A Coverage 2012 Out-of-Pocket Costs*
Inpatient hospital care
Skilled nursing care
Hospice care
Home Health
Blood
Deductible $1,156
Days $289 per day
Days $578 per day(Lifetime reserve days)
All costs for each day beyond 150
Days $ per day
First 3 pints
*These amounts can change every year beginning January 1st
Jan-19
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7. Medicare Part B
Pay a monthly premium. This amount can change every year beginning January 1st.
Part B Premium in 2012 will be $99.90.
Higher-income beneficiaries pay $99.90 plus an additional amount based on the income –related monthly adjustment amount.
Enrollment
3 months prior to month of 65th birthday, including month of 65th birthday and no later than 3 months after the month of the 65th birthday
Jan-19
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8. Medicare Part B Coverage
Doctors’ services and outpatient care
Preventive services
Diagnostic tests
Some therapies
Durable medical equipment
Out-of-Pocket Costs
$ annual deductible in 2012 (this can change every year beginning January 1st)
20% coinsurance for most services after deductible satisfied
Jan-19
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9. Medicare Advantage (Part C)
How do these plans work?
You can join or switch plans only during certain times of the year
Must cover at least what Medicare covers
You generally still pay a monthly Part B premium and may also pay the Medicare Advantage plan’s premium if they charge one
The out of pocket costs can vary by plan as does the extra benefits
Whether the plans have certain rules you must follow like referrals to see specialist
You may have to use certain providers who belong to the plan
Can not own a Medicare Supplement with a Medicare Advantage plan
The plan can decide to stop participating in Medicare, you would then have to join another Medicare health plan or return to Original Medicare
Jan-19
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10. Medicare Part D Outpatient prescription drug benefit
Operated by private companies that are subsidized by the government
Plans may vary substantially, covering different drugs, charging their own premiums and copays
To join, must have Medicare Part A and/or Part B
Must be comparable to the “Standard Coverage”
Medicare.Gov
Jan-19
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11. Medicare Supplement
Jan-19
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12. Medicare Supplement
Covers the “gaps” in Medicare –deductibles, coinsurance, copays
These amounts change each year and supplement coverage covers those new amounts
Medicare covers less than half of beneficiaries’ total costs
In 2007, CMS estimated that Medicare out-of pocket expenses amounted to $3,800 per year for single individual and $7,600 for a couple
Guaranteed renewable
Can see any provider that accepts Medicare, no referrals needed
Jan-19
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13. Medicare supplement Sold by private insurance companies
Standardized Plans so individuals can compare easily. Cost may vary by company, where individual lives and by plan
Must follow Federal and state laws
Can only cover one individual
* Exception is MA, WI and MN
Jan-19
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14. Plans A-N
Jan-19
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15. Medicare Supplement Coverage
All plans cover basic benefits
Part A coinsurance for inpatient hospital care
Cost of 365 extra days of inpatient hospital care
Part A hospice coinsurance
Covers $5 copay for outpatient prescription drugs or pain and symptom management and 5% of the Medicare-approved amount for inpatient respite care (does not include room and board)
Part B coinsurance after deductible
First 3 pints of blood each year
Across the board – all plans cover these items.
Jan-19
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16. Pricing Other pricing elements: Rate Adjustments
Gender Rating (Male and Female)
Tobacco/Non Tobacco
Area rating
Discounts-Household/Spouse (UofO)
Risk
Rate Adjustments
Help keep pace with rising Medicare claim trends and changes in annual deductibles and co-pays
Jan-19
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17. Other information
Most popular plan is Plan F due to comprehensive benefits at a medium price
Another alternative is a Medicare select plan that mirrors the Med Supp plans with exception of using an in network hospital so that the Part A deductible is waived. Usually less premium.
Jan-19
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18. Eligibility Open Enrollment
Last for 6 months and starts on the first day of the month in which you are both
Age 65, AND
Enrolled in Medicare Part B
During this period, an insurance company can’t
Deny you any Medigap policy it sells
Make you wait for coverage to start, or
Charge you more for a Medigap policy because of your health problems
Jan-19
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19. Med Supp Guarantee Issue Scenarios
Right to Buy
In Medicare Advantage Plan and plan is leaving the Medicare program or stops giving care in the area, or individual moves out of the plans service area
Plan A, B, C, F, K or L that is sold in your state by any insurance company
In Original Medicare and an employer group health plan that pays after Medicare pays. The coverage is ending.
You have Original Medicare and a Medicare Select policy and you move out of the Medicare Select’s policy service area
Plan A, B, C, F, K or L that is sold by any insurance company or in the state you are moving to.
Jan-19
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20. Med Supp Guarantee Issue Scenarios
Right to Buy
You joined a Medicare Advantage Plan when first eligible for Medicare Part A at age 65, and within first year of joining decide you want to switch to Original Medicare
Any policy that is sold in your state by any insurance company
You dropped a Medigap policy to join a Medicare Advantage plan for the first time, you have been in the plan less than a year and want to switch back.
Former Medigap policy if company you had it with still sells it. If not, you can buy a plan A, B, C, F, K or L sold in your state by any insurance company.
Jan-19
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21. Outside of Open Enrollment or Guarantee Issue Scenarios
Medical underwriting can be applied and based on
Answering of health questions
Height/Weight
Medications
May be subject to pre-existing (only New York)
Jan-19
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22. Med Supps for under age 65 Federal law does not require
May not be able to buy a Medigap policy even if you have Medicare without underwriting or at all
Some state laws are different and require you offer to under age 65
However, if you have Part B when you reach age 65, you will have the right to choose and buy any Medigap policy during the open enrollment period, even if you had Part B before age 65.
Under 65 rates are in CA, CO, CT, DE, FL, GA, HI, IL, KS, KY, LA, ME, MD, MN, MS, MO, NH, NJ, NY, NC, OK, OR, PA, SD, TN, TX, VT, WI
Jan-19
For Producer Use Only

23. Comparing Carriers
Medicare supplements although standardized, there are differences among carriers in terms of….
Premiums
Plans offered
Customer and Producer Service
Brand
Other: Value added benefits, discounts, etc.
Jan-19
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24. Mutual of Omaha’s Medicare Supplement
Jan-19
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25. Our Company
Founded in 1909
A Mutual company owned by our policyholders
A full-service, multi-line provider of insurance and financial services products
Strong Brand Recognition
Jan-19
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26. Financial Strength
In 2009, Mutual of Omaha entered their 100th year in the business
$2.1 Billion in surplus
Bond Portfolio rated 94%
$1.5 Billion in cash flow
Comdex 92
Jan-19
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27. Strong Brand Community Connection Sponsorships
USA Swimming
Golf
Mutual of Omaha’s Wild Kingdom
Jan-19
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28. Why Us for Medicare Supplement?
In Medicare supplement business since 1966
Largest producer sold company
Competitive premiums
Product offered in all states with exception of Massachusetts
Jan-19
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29. Our Products Most states attained age rated
Plans offered A, F & G. Some will have additional plans B, C & D, M
Rate guaranteed at time of application and for 12 months following the effective date of the policy
Vision Discount benefit (some states excluded)
No certificate or policy fee
Jan-19
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30. United of Omaha -Premium Features
7% household discount (Excludes or varies in MO and CT)*
Standard/Class I/Class II ratings** (not applicable during Open Enrollment/Guarantee Issue periods)
Area ratings improved to provide more competitive premiums in TN, TX and MI
*12% discount in MO/ No discount in CT
**Class rating not applicable in TX and CT
Jan-19
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31. Our Processes
One month premium at time of application via check or ACH withdrawal
Online application process (E-app)
Mail App – take application over the phone and mail to client for signature
Ability to accept applications via fax
Ability to have policies sent directly to client
Jan-19
For Producer Use Only

32. Med Supp E-App
Ability to take electronically Medicare supplement applications via E-signature and Voice Authorization (IVR).
Training available –
New App ready for use 08/17/2011
Access via SPA
Sandbox and Quick Start Guide
New Tool coming July 15th – ability to sign on through SPA –
Automated Underwriting Rules
On-time app changes, rate updates
Will Not allow Incomplete apps to be submitted
Prevents submission of dup apps
Data entry will be real time
Non underwritten apps can be issued within 5 minutes.
Jan-19
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33. Our Services
Policies issued in four days on average with automated underwriting on clean applications
Direct contact with underwriters ( )
Over 90% placement rate on Underwritten
Dedicated Sales and Support team
Jan-19
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34. Our Reporting Available on SPA Status of applications
Policy Conservation
Policy Schedules for Policies sent directly to client
Rerating Adjustments
Marketing Credit Info
10-19 apps – ½ credit for each $ of anbp – 20 or more is 1 full credit.
Jan-19
For Producer Use Only

35. Marketing Items Point of Sale Brochure Eye Med Vision Discount Program
USA DATA List Vendor
Prospecting Pieces
Jan-19
For Producer Use Only