Dec 7, 2025
Older Americans on Medicare Advantage plans are leaving money on the table in the form of over-the-counter benefits. Many don’t realize that they can potentially tap into OTC benefits that could pay for things like vitamins, household essentials or even some groceries.
The simple fact is that navigating the health care industry, especially Medicare plans, is confusing. Even the most savvy might have trouble finding out what OTC benefits they have and how to use them.
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But a new app is aiming to change that. The Chapter OTC app, founded by Cobi Blumenfeld-Gantz, promises to help people find and use their available OTC benefits for free. He created this app to help people seamlessly navigate their OTC benefits after he watched his own parents struggle to make the most of their Medicare Advantage plans (1).
Here’s how this app can help you make sure that no benefit goes unclaimed.
Why so many OTC dollars go unused and how this app closes the gap
Most people enrolled in Medicare Advantage plans qualify for some amount of OTC benefits. As of 2023, over 87% of plans offered an OTC benefit of some kind. Yet an estimated 70% of Medicare OTC benefits remain unused each year (2).
With around $5 billion left in unspent OTC benefits each year, it’s clear that many aren’t aware of these potential benefits or aren’t sure how to access them. Since navigating health insurance plans is confusing for many, it’s not surprising that many seniors and their caregivers are leaving benefits on the table (3).
OTC benefits can be used for a wide range of items. A few examples include allergy medication, vitamins, pain relievers, toothbrushes and more. Beyond OTC medications and tools, some plans even offer benefits to help pay for healthy foods, like fruit, meat and cereals, and utilities, like water, internet and electricity (4).
More than 17 million older adults are considered economically insecure. For many, especially those on limited fixed incomes, tapping into these OTC benefits could significantly impact their bottom line (5).
Lynn Fitgerald, a stroke survivor, recently discovered that she can tap into benefits to help cover the cost of essential OTC purchases. With her $120 quarterly OTC allowance, she has been able to purchase items including night lights, bandages, dental floss, vitamins and more without dipping into her own budget (6).
The exact amount of OTC benefits you qualify for will vary based on your situation and plan. According to Chapter OTC, the average benefits are around $400 per year per enrollee. Regardless of the exact amount, it all adds up to help you spend less on household essentials and stretch your retirement dollars further (7).
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How to use your own benefits
If you want to tap into your own benefits through the Chapter OTC tool, you’ll start by looking up your plan. Be prepared to provide your ZIP code, insurance carrier and plan type to discover what OTC benefits you have access to, if any (8).
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If you have OTC benefits at your disposal, signing up for the Chapter app makes it easy to put them to use. After creating an account, you’ll be able to shop for eligible items directly in the app. When you check out with your OTC benefits, the items will be shipped to your front door (9).
Unlike the traditional way of digging into your own plan and calling around for help from insurance company representatives, this streamlined process can help you tap into any OTC benefits you have without significant hassle.
If you are able to claim OTC benefits of any amount, that could help you get the health supplies you need without breaking your own budget. For some, it might also mean getting help covering healthy groceries and utility bills.
With billions in Medicare OTC benefits going unused every year, older Americans may be missing out on hundreds of dollars that could otherwise help cover essential costs. A free tool like the Chapter OTC app doesn’t just simplify the process, it gives seniors and caregivers a practical way to take back control of a confusing system, identify what they’re entitled to and put those dollars to work.
For anyone living on a fixed income, checking your plan and redeeming every available benefit can be an easy, meaningful step toward easing financial pressure and stretching your money further.
Article sources
We rely only on vetted sources and credible third-party reporting. For details, see our editorial ethics and guidelines.
Chapter (1, 7, 8, 9); International Council on Active Aging (2); WKMG News 6 ClickOrlando (3, 6); UHC (4); National Council on Aging (5)
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Sarah Sharkey is a personal finance writer who enjoys helping people make optimal financial decisions for their situation. She loves digging into the nitty-gritty details of financial products and money management strategies to root out the good, the bad, and the ugly. Her goal is to help readers find the best course of action for their needs.
