What is Medicare Supplement Plans?
- Also called Medigap and sold by private companies that can help pay some of the health care costs like copayments, coinsurance, and deductibles that Original Medicare doesn't cover
What do Medicare Supplement Plans cover?
- Besides covering the healthcare costs like copayment, coinsurance and deductibles which are not covered by Original Medicare, some Medicare Supplement Plans (MS) also offer coverage for services that Original Medicare doesn't cover, like medical care when you travel outside the U.S.
- If you have Original Medicare and you get Medicare Supplement Plan (Medigap), Medicare will pay its share of the Medicare-approved amount for covered health care costs, after that your MS (Medigap) plan pays its share.
How is Medicare Supplement Plan different from Medicare Advantage Plan?
- A Medicare Supplement Plans ( also called Medigap) is different from a Medicare Advantage Plans. MA plans provide Medicare benefits, while a MS plan only supplements your Original Medicare benefits.
Important Things To Know about Medicare Supplement Plans (Medigap):
You must have Medicare Part A and Medicare Part B.
A monthly premium paid to the private insurance company for Medicare Supplement Plan (Medigap) is separate from the monthly Part B premium that you pay to Medicare
If you have a Medicare Advantage Plan, you can apply for a Medicare Supplement Plan (Medigap), but make sure you can leave the Medicare Advantage Plan before your Medigap begins
A Medigap policy only covers one person. If you and your spouse both want Medigap coverage, you'll each have to buy separate policies.
You can buy a Medigap policy from any insurance company that's licensed in your state to sell one.
Any standardized Medigap policy is guaranteed renewable even if you have health problems. This means the insurance company can't cancel your Medigap policy as long as you pay the premium.
Some Medigap policies sold in the past cover prescription drugs, but Medigap policies sold after January 1, 2006 aren't allowed to include prescription drug coverage. If you want prescription drug coverage, you can join a Medicare Prescription Drug Plan (Part D).
It's illegal for anyone to sell you a Medigap policy if you have a Medicare Medical Savings Account (MSA) Plan.
The following Insurance plans are not Medicare Supplement Plans (Medigap) :
Medicare Advantage Plans (like an HMO, PPO, or Private Fee-for-Service Plan)
Medicaid
Medicare Prescription Drug Plans
Employer or union plans, including the Federal Employees Health Benefits Program (FEHBP)
TRICARE
Veterans' benefits
Long-term care insurance policies