Southwestern Health Resources, a Farmers Branch, Texas-based company, recently announced that they are shutting down their Care N’ Care Medicare Advantage Plan in 2025. This change will affect around 26,000 Texans who are enrolled in this plan.
If you are one of the people affected, you probably have a bunch of questions about this change.
That’s why in this article, we’ll cover the eight most frequently asked questions about Care N’ Care’s closure, helping you navigate this uncertain time smoothly and transition to a new plan for 2025 without any mistakes.
The 8 Most Frequently Asked Questions About Care N’ Care Closing Its Medicare Advantage Plan
Why is Care N’ Care Closing in 2025?
Southwestern Health Resources announced the closure of their Care N’ Care Medicare Advantage Plan, citing “increasing competition and utilization, and regulatory requirements.”
A company spokesperson explained, “Medicare Advantage plans are facing significant headwinds nationwide due to challenging regulatory changes and rising benefit utilization.”
Care N’ Care is just one of several Medicare Advantage Plans shutting down in 2025. Other insurance companies such as Humana, Aetna, and Cigna are also closing some Medicare Advantage Plans in select markets.
Who is Affected By This Change?
Everyone currently enrolled in the Care N’ Care Medicare Advantage plan will be affected by this change.
However, if you are enrolled in another Medicare Advantage Plan in Farmers Branch, Texas, you shouldn’t be affected by this change unless your plan specifically states that it is closing in 2025.
Your plan should send you a Non-Renewal Notice if it is shutting down. If you’d like to double-check, contact your insurance company or let us look at it by calling us directly (click here). As licensed insurance agents, we can review your options with you — and it doesn’t cost you anything to work with us.
What Should You Do if Your Medicare Advantage Plan is Shutting Down?
If your plan is shutting down next year, you can enroll in another Medicare Advantage Plan before the year ends. Doing so ensures that your health insurance coverage won’t be interrupted.
What Happens if Your Medicare Advantage Plan is Closing and You Don’t Enroll in a New Plan?
If your Medicare Advantage Plan is shutting down and you don’t enroll in a new one, your health insurance will revert to Original Medicare on January 1.
Original Medicare generally has higher out-of-pocket expenses than Medicare Advantage Plans and Medicare Supplement Plans. That’s why most people don’t stay on Original Medicare alone but also enroll in additional coverage.
When Can You Enroll in a New Medicare Advantage Plan?
If your Medicare Advantage Plan is ending, you technically have until February 28 to select a new one. That said, many licensed insurance agents suggest signing up by December 31 to prevent an interruption in your health insurance coverage.
For most people, the preferred time to enroll in a Medicare Advantage Plan is during the Annual Enrollment Period, which runs from October 15 to December 7. Changes made during this window will take effect on January 1 of the following year (which for you would be 2025).
However, if your current plan is scheduled to end next year, you qualify for a Special Enrollment Period. This special period begins on December 8 and continues until February 28.
If you enroll during the Special Enrollment Period, your new plan will generally become effective the first day of the month after you sign up. This is why agents recommend enrolling before the end of December—waiting beyond that could leave you without full coverage for several weeks.
Why Do Insurance Agents Recommend Enrolling in a New Plan By December 31?
If you enroll in a Medicare Advantage Plan during the Annual Enrollment Period, your new plan will take effect on January 1 of the following year — the same time that your old coverage should end.
However, if you enroll in a plan during your Special Enrollment Period, your new plan will generally begin on the first day of the following month. That’s why if you enroll in January, your plan should typically start in February.
If you enroll past December 31, you could be without full coverage for a few weeks.
Can You Switch to a Medicare Supplement Plan if You Are Losing Your Medicare Advantage Plan?
If you want to switch from a Medicare Advantage Plan to a Medicare Supplement Plan, you may have to pass medical underwriting. Insurance companies ask you health-related questions and can reject your application or charge you higher premiums if you don’t pass their criteria.
However, there are several Guaranteed Issue Rights periods that, should you qualify for one, allow you to enroll in a Medicare Supplement Plan without going through medical underwriting.
If your Medicare Advantage Plan is exiting the market, you typically qualify for Guaranteed Issue Rights for Medicare Supplement Plan A, B, C, D, F, G, K, and L.
This Guaranteed Issue Rights period begins 60 days before your current plan closes and ends 63 days after your current plan closes.
How Can You Get Help If You Are Losing Your Plan?
If you’re still confused, or if you’d like help navigating these changes, you can always call or text us at +1 877-360-6565 (TTY: 771), and a licensed insurance agent will be happy to help at no cost to you.
Unlike captive agents who work for one insurance company and generally try to get you to sign up for their plans, we work with several different insurance companies. That’s why we can provide you with unbiased advice when it comes to choosing a plan.
We can confirm if your plan is shutting down, answer any questions you have, and help you find the right plan fit for you.
Don’t Panic!
We hope that this article has answered most of your questions regarding Care N’ Care’s closing. So don’t panic. Search for a new plan, and enroll before December 31 to enjoy a smooth transition into the New Year.
If you still have questions, don’t hesitate to reach out to us. And don’t forget, you can always book an appointment with one of our licensed insurance agents to chat about getting you a new plan that fits your needs!