What is medicare supplement insurance
Unfamiliar with Medicare? Need to know what the appropriate Medicare plan for you might be?
Medicare Supplement (Medigap) insurance policies, which may be procured through private companies, cover numerous healthcare charges that the Original Medicare does not—some of which include but are not limited to co-payments, deductibles and co-insurance.
When you are a holder of Original Medicare and enroll in a Medigap policy, it may cover certain healthcare costs that Original Medicare does not.
Medigap and Medicare Advantage Plans are not the same. Advantage plans offer a way to obtain additional Medicare benefits through a private insurance plan. Medigap policies supplement one’s Original Medicare benefits.
Medicare Supplement Policy: Basic Essentials
- Medicare Part A and Part B are mandatory for eligibility.
- A Medicare Advantage Plan allows you to switch during specified enrollment periods.
- You must pay a monthly premium payment to a private insurance company for Medicare Supplement insurance. This is in addition to the Part B premium that must be paid to Medicare separately.
- Medigap policies offer individual coverage. Additional members or spouses in need of Medigap coverage must purchase separate policies.
- Medicare Supplement insurance policies may be purchased from any state licensed insurance company.
- As long as you maintain your premium payments, your standard Medicare Supplement insurance cannot be revoked by Medicare, even in the absence of health problems.
- If you purchased your Medicare Supplement insurance policy post 1st January 2006, it won’t encompass prescription drug coverage. Those who require such coverage must enroll and register for a Medicare Prescription Drug Plan (Part D).
- You cannot be enrolled in a Medicare Advantage Plan and a Medicare Supplement Plan at the same time.