Medicare Supplement plans are supplemental insurance policies that Medicare-approved private insurers sell. Medigap plans help cover certain out-of-pocket costs leftover from Original Medicare, such as deductibles, coinsurance, and copayments.
While having a Medicare Supplement plan is not exactly necessary, having one can certainly lower your out-of-pocket expenses. To enroll for Medigap, you must be enrolled in Original Medicare.
What Does Medigap Cover?
There are ten Medicare Supplement plans available, all of which are standardized and labeled from A to N. It is important to note that new Medicare and Medigap enrollees may not be able to purchase certain supplement plans, more specifically, Plans C and F. However, beneficiaries who are already enrolled in these plans are allowed to keep their policy.
Medicare Supplement plans can help cover some out-of-pocket costs associated with Part A and B. These costs include:
- Part A and B coinsurance and hospital costs
- Part A hospice care coinsurance and copayment
- Part A and B deductibles
- Part B excess charges
- First three pints of blood used in a transfusion
- Skilled nursing care facility coinsurance
- Foreign travel emergency care
Eligibility and Enrollment
To be eligible to enroll in a Medicare Supplement plan, you must first be enrolled in Original Medicare. You can enroll in Original Medicare during your Initial Enrollment Period, which begins three months before your 65th birthday and ends three months after. Once you are 65 and have your coverage with Original Medicare, a one-time, six-month enrollment period will begin. This period is known as the Medigap Open Enrollment Period.
During this period, you can enroll in a Medicare Supplement plan without the fear of being denied coverage. You also will not have to answer medical questions or be charged extra in premiums because of your current state of health or medical history. However, if you miss this period, insurers have the right to deny you coverage, charge you more, and make you undergo medical underwriting to determine if they should let you enroll in the plan.
Do You Need a Medigap Plan?
Medicare Supplement plans may not be ideal for everyone, but those who are interested in keeping their Original Medicare coverage and do not want the extra benefits that come with a Medicare Advantage plan should consider a Medicare Supplement.
With ten options to choose from (A, B, C, D, F, G, K, L, M, and N), we can help you find a supplement that meets your coverage needs. If you need basic coverage, Plans A or B would be ideal. For those who want comprehensive coverage but can’t enroll in Plan F, we can help you look at your options for Plans G and N.
Jersey Medicare Solutions Can Help
To learn more about Medicare Supplement plans, contact us today 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.
