How to Read a Summary of Benefits Document

Posted on Thursday, November 6, 2025

|

by Sabrinah Cave

|

1 Comments

|

Print

Summary of Benefits: The Key to Understanding Your Coverage

Navigating Medicare plans can be overwhelming, but the Summary of Benefits (SOB) document is designed to make things easier. It’s your go-to resource for comparing health plans side by side.
This guide breaks down the SOB into easy-to-understand sections to help you answer key questions about deductibles, provider access, and out-of-pocket costs.

What Is the Summary of Benefits?

The Summary of Benefits is a standardized document that outlines the essential features of a Medicare Advantage or Prescription Drug Plan.

It includes:
• Insurer contact information (phone number and website)
• Plan type (e.g., Medicare Advantage or Part D drug plan)
• Covered services (hospital, medical, prescription drugs, and “other covered benefits”)
• Estimated costs for common services (deductible, copays, and coinsurance)
• Differences between in-network and out-of-network cost-sharing

While the layout may vary slightly by carrier, each Summary of Benefits must include the same key information, making plan comparison easier once you know what to look for.

Where Can I Find the Summary of Benefits?

When browsing plans online, the SOB is usually linked within the plan details. You can also request it directly from the insurance company. Better yet, your AMAC Medicare Advisor can email or mail a copy to you directly.

Here’s What to Look For

The Summary of Benefits is divided into sections, such as Eligibility Guidelines, Hospital, Medical & Prescription Benefits, and Additional Benefits.

Here’s a closer look at each section:

Eligibility Guidelines
• Who can enroll in this plan? Part D plans require you to have either Part A and/or Part B, while Medicare Advantage plans require both.
• What is the geographical service area? This tells you which region the plan serves. If you’re considering a permanent move, you can use this to see if your plan is still offered in that area.

Hospital, Medical, & Prescription Benefits
This is the core of the SOB and covers:
• Annual deductible
• Doctor and specialist visits
• Ambulance, emergency room care and hospital stays
• Imaging (MRI, CT scans)
• Mental health services
• Skilled nursing, therapy, and rehabilitation
• Cost-sharing structure for prescription drugs (if covered)
Look closely at copayments (fixed costs) and coinsurance (a percentage you share) for both in and out-of-network services. These details will help you anticipate what you’ll pay for care.

Additional Benefits
Many Medicare Advantage Plans offer extras such as:
• Over-the-counter (OTC) allowances
• Gym or fitness program memberships
• Routine dental, vision, or hearing coverage
• Travel-related medical coverage
• Acupuncture and chiropractic services not covered by Original Medicare

A Real-Life Example: Ella’s Back Surgery

Ella has chronic back pain and uses the Summary of Benefits to find answers. Some of her questions can be answered easily by a simple glance at the SOB.

Here are some of her questions:
• Does she need a referral to see a specialist?
• What will she pay for imaging before surgery?
• What are the costs for surgery and post-op rehab?

The Hospital, Medical, & Prescription Benefits section reveals whether a referral is required and estimates the cost of surgery. She sees, for example, that she’d pay a $50 copay for an in-network provider or 40% coinsurance for an out-of-network one. She also finds the out-of-pocket maximum, the most she’ll have to pay in a year before the plan covers 100% of approved costs (excluding premiums or non-covered care).

Using the SOB During the Annual Enrollment Period

Now, if you’re the type to do the research yourself before commiting to a plan, the Summary of Benefits helps you compare Medicare Advantage and Part D plans clearly. You can also use it to estimate your yearly out-of-pocket limits, understand provider network requirements, and other exclusions. By reviewing your SOB, you can avoid unwelcome surprises and choose a plan that fits your healthcare needs and budget.

Key Medicare Tips for Using the Summary of Benefits

1. Review the SOB thoroughly before selecting a plan.
2. Read the cost of services you use often.
3. Compare multiple SOBs for side-by-side evaluation.
4. Request a new SOB each year to check for changes.
5. Use the included glossary to understand unfamiliar terms.

The Summary of Benefits is one of the best tools Medicare beneficiaries have for making informed decisions. It empowers you to compare plans, anticipate costs, and understand your provider options.

For help with Medicare plans – or any questions you may have about Medicare – contact AMAC’s Medicare Advisory Service at 1-855-611-4856 or request a quote by clicking the button below.