The current New York State laws for Medigap ( also known as Medicare Supplement plans) are no longer sustainable in NY. At the present time, the NY law stipulates that Medicare recipients regardless of age or health status can purchase a Medigap policy without any health questions asked, guaranteed issue at any time of the year. Although, this may seem like a great consumer protection law, it is becoming unsustainable as more people age into Medicare. 

Many Medigap Insurers are pulling out of the NY market and/or raising premiums dramatically due to having large risk pools of unhealthier recipients. NY has a large and diverse population, due to a large senior population aging into Medicare, NY's Guranteed Issue laws are no longer practical. The premiums are no longer affordable to the every day consumer on a fixed income. 

NY needs to change the law from Guaranteed issue to a unique Anniversary rule for the purchase of Medigap policies. I propose NY changes this law and uses the consumers Part B effective dates one year anniversary as the time frame a consumer can purchase a Medigap policy without any health questions asked. If the consumer is new to Medicare they will still have the 6 month open enrollment window to purchase a Medigap policy without any health questions asked, but after that window has expired, the consumer will have to either wait to purchase a  Medigap policy guaranteed issue around their Part B anniversary start date, or have to pass " medical underwriting" the rest of the year.

By NY having a unique anniversary rule, the law will still protect the consumer who may have health ailments in purchasing a medigap policy guaranteed issue during the One year anniversary date of their Part B effective date, while at the same time allowing the insurer to keep the risk pool more balanced in underwriting and approving healthier recipients,  this in turn will keep Medigap community rated premiums more stable, community rated premiums would remain intact under this new law. This change will meet the consumer and the insurer in the middle, it will keep premiums more stable and affordable and may incentivize more insurers to enter the NY market with competitive rates.

With our current laws, The consumer has very limited options in purchasing a medigap policy due to the high premiums. This law needs to change before more insurers leave the NY market. NY's only option in preserving the NY Medigap market is to change the law!