Also known as Medigap, Medicare Supplement plans are supplemental insurance plans sold by private insurance companies that have a contract with Medicare. A Medicare Supplement plan’s primary function is to cover certain out-of-pocket costs from Original Medicare, such as copayments, coinsurance, and deductibles. If you have high out-of-pocket costs, Medigap can help you cover some, if not all, of them.
How Do You Qualify for Medigap Insurance?
This means if you’re enrolled in Medigap, Original Medicare will cover their specified healthcare expenses first, then the Medicare Supplement plan will cover the out-of-pocket costs that are left. To qualify for a Medicare Supplement plan, you must be enrolled in Medicare Part A and Part B.
Coverage Features
Supplement plans are standardized, which is one advantage of these plans. This means regardless of the insurance company or state you live in, the plans must offer the same basic benefits. However, if you are a new enrollee, you may not be able to buy certain Medigap plans. If you became eligible on January 1, 2020, or much later, you cannot enroll for Medicare Supplement plans that cover the Part B deductible. Plans in this category include Medicare Supplement Plan C and Plan F. However, beneficiaries who are currently enrolled in these plans can keep them.
Benefits of Medigap Plans
There are ten standardized Medigap plans that provide coverage for various Part A and Part B costs. For Part A, hospice care coinsurance, skilled nursing facility care, inpatient hospital costs and coinsurance, and the deductible can be covered. For Part B, you can get coverage for costs such as outpatient hospital costs and coinsurance, deductibles, and excess charges.
Keep in mind that each plan provides coverage for different out-of-pocket costs, giving you many options to choose from depending on the type of coverage you are looking for. Regardless of whether you need the most basic coverage or the most comprehensive, Medicare Supplement plans have you covered. Medigap plans are also guaranteed renewable. This means you can keep the plan as long as you pay your premiums.
Also, if you enroll during the Medigap Open Enrollment Period, you will be able to join any supplement plan without the fear of being turned down for coverage or being charged more in premiums. With ten options to choose from, you should be able to find a plan that can meet your coverage and budget requirements. The ten plans are labeled as A, B, C, D, F, G, K, L, M, and N. But, we understand that finding a plan is easier said than done. That’s why we are here to help and make sure you get the plan you want.
Call Jersey Medicare Solutions Today
Medigap insurance can help cover important medical costs and is a great option for people who need assistance with paying their out-of-pocket costs. To learn more about the supplement plans available to you, give us a call at 973-500-3708.
Thomas M. Brzezinski is one of the founding partners of WMAG William & Michael Advisor Group LLC and Jersey Insurance Solutions. He has been involved in the insurance industry for over ten years and specializes in developing client relationships that last a lifetime.
