Medical supplemental plans help cover health and medical-related costs for Medicare beneficiaries. Medicare supplemental plans, also known as Medigap, reduce the out-of-pocket expenses beneficiaries pay for certain services. The plans are identified using Letters A-N.
- Plan F is considered to be the best supplemental plan due to the level of coverage, which includes the Part B deductible. It is also the most expensive.
- Plan G is the next best Medicare supplement plan after F and is rising in popularity due to the high level of coverage and lower monthly premium.
What is Medicare Supplement Insurance?
Medicare supplement plans, like Plan G, cover out of pocket expenses that are not covered by your regular Medicare insurance plan. Supplemental plans are optional and in addition to your Medicare Part A, B, and D. They cost an additional premium and some plans include deductibles that must be paid before Medigap insurance coverage kicks in.
Why Should I Choose Plan G?
Better coverage at a lower cost. Plan F provides the most coverage but the higher premiums aren’t feasible for many beneficiaries. Medicare Plan G provides similar coverage at a lower rate so your out-of-pocket expenses will be significantly lowered.
What Does Medicare Plan G Cover?
Choosing the right Medigap plan depends on your medical needs. Compare different plans to determine if Medigap Plan G is the right one for you.
Eight out of Nine Benefits
There are nine categories of benefits addressed by Medigap coverage.
- Part A coinsurance and hospital costs up to an additional 365 days after Medicare benefits are used up
- Part B coinsurance or copayment
- Blood (first 3 pints)
- Part A hospice care coinsurance or copayment
- Skilled nursing facility care coinsurance
- Part A deductible
- Part B deductible
- Part B excess charge
- Foreign travel exchange (up to plan limits)
Medigap Plan G covers eight of the benefits listed above. The part B deductible is not covered. Medicare Part B covers physician visits, outpatient hospital services, some home health services, durable medical equipment, and other medical services not covered by Part A. The annual deductible for Medicare Part B beneficiaries is $185. Understanding where you need coverage will help you choose the right Medigap plan for you.
Is a Supplement Plan Necessary?
Medicare Part A covers hospital-related expenses, Medicare Part B covers standard medical expenses like doctor visits and preventative care, and Medicare Part D covers prescription drugs.
These are basic plans provided by the government to:
- People 65 and older
- Certain younger people with disabilities
- People with End-Stage Renal Disease
Coinsurance, deductibles, and out-of-pocket expenses apply to each plan. According to this study, the average Medicare beneficiary pays over $5,000 in copays, coinsurance, and deductibles annually. Having Medicare supplement insurance coverage, like Plan G, will help to alleviate the burden of increasing medical costs.
Need Help Finding the Right Supplemental Plan?
PlanMedigap specializes in Medicare insurance products. With the rising costs of medical care, we want to help you make the best decision for your budget. You don’t have to search for a Medigap plan by yourself. Give us a call and we can review your options over the phone. We’re happy to walk you through coverage, supplement plans, and your anticipated out-of-pocket expenses.
Every Medicare plan has a monthly premium; supplemental plans will include an additional premium but the savings can outweigh the costs if you choose the right plan. Let us help.
Contact us to learn more about the Medicare supplemental insurance plans available to you.
