The first year's discount percentage depends on what factor?

The discount percentage for the first year of Medicare Supplement Insurance plans is primarily influenced by the applicant's age on the effective date. Insurers often utilize age as a key determinant because premiums for Medicare Supplement policies can vary based on the age of the insured individual. Younger applicants may be offered lower premiums, as they are generally expected to have lower healthcare costs compared to older applicants. This age-based pricing model can lead to different discount percentages which reflect the insurance company's assessment of risk and potential healthcare expenses associated with the applicant's age at the start of coverage.

In contrast, while other factors such as the type of plan, duration of Medicare coverage, and income level play a role in the overall cost and eligibility of Medicare plans, they do not specifically dictate the first year's discount percentage in the same direct way that age does.