Are you new to the Medicare scene and need some guidance on supplemental Medicare insurance? Here are 5 frequently asked questions that will guide you to whether supplemental insurance is right for you and your situation.
1. What Is Medicare Supplemental Insurance?
Medicare supplemental insurance, also known as Medigap, is a separate insurance plan that helps insurance policyholders pay for medical expenses not covered by Original Medicare plans, such as:
- Copayments
- Coinsurance
- Deductibles
Medicare supplemental insurance is distributed by private insurance companies. Essentially, your medical expenses are divided up between your normal Medicare insurance and your supplemental insurance. For example:
- Medicare pays the allotted amount for your doctor’s visit or supply charge.
- Supplemental insurance (Medigap) pay for their share.
- You pay the remaining difference: This difference is a much smaller amount with Medicare supplemental insurance on your side.
2. What Is Part A and Part B in Medicare Insurance?
To qualify for and receive Medicare supplemental insurance, you must have both Part A and Part B in your Original Medicare policy.
- Part A: Hospital insurance that covers hospital stay, nursing care, and home health care services.
- Part B: Medical insurance that covers doctor’s visits, medical supplies, and other services.
Keep in mind that you may not have Part A and B just because you hold a Medicare policy. Often, this depends on your Social Security benefits status and if you have certain diseases.
3. What’s the Difference Between all the Supplemental Medicare Insurance Companies Out There?
You may find it difficult or confusing to choose supplemental Medicare insurance company since there are so many to choose from. The best way is to research and read about each company and choose the one that fits your situation best.
Mostly, the differences lie in price. Circumstances that affect a company or policy rates for Medigap insurance can include:
- Where you live
- Your health qualifications
- The discounts you already receive
4. How Do You Choose the Right Supplemental Insurance Plan for You?
There are 14 different supplemental Medicare insurance plans to choose from. Here are 3 steps to choosing the right one for you:
- Compare Medicare supplemental insurance policies: Named A-N, these policies vary in coverage percentages, types of coverage, and price. To choose the best plan for you, compare with the help of PlanMedigap and study the helpful charts and information provided on their website.
- Consider your health history and circumstances: Choose your policy based on your current health needs and predicted health needs.
- Act Fast: Supplemental Medicare insurance policies are the cheapest within 6 months of purchasing an Original Medicare policy
5. Does Medicare Supplement Insurance Cover Prescription Drugs?
As of January 1, 2006, Medicare supplemental insurance does not cover prescription drugs for policyholders. This is due to the implementation of Plan D in Original Medicare policies, which is the only way to receive prescription drug coverage anymore.
However, if you held a supplemental Medicare insurance policy before January 1, 2006, when Medigap covered prescription drugs for patients, then you are still able to keep this coverage.
If you would like more information on choosing the right Medicare supplemental insurance for you, feel free to contact PlanMedigap today. Also, be sure to check out patient testimonials and additional resources on our website to help guide you through your supplemental insurance journey.
