Medigap is a medicare supplement insurance which fills the gap that is not covered under the original medicare, sold by private companies. You would be responsible to pay deductibles, coinsurance and copayments and these costs will pinch your pocket. Some plan also covers certain hospital and medical services which are not covered in original medicare plan. It provides supplement coverage along with original medicare and not-stand-alone.
States have standardized the policies into plans from A to N and it varies from state to state. All the policies cover the basic plan with additional benefits plan that differs from each plan. This has higher premium with a lower out of pocket expense. It is used only to cover original medicare expenses by paying monthly premium. You pay premium to the private insurance company and it covers only one person, you will have to buy separate policy for all your family members.
To learn about medicare plans and your eligibility visit the private firm which provides with the trusted plans for you. Delos H Yancey is a chairman & CEO for state mutual insurance company which is a legal reserve headquartered in Rome. It will help you to the entire medicare supplement products offer with a basic and advanced coverage. Most of the states sell medicare select plans that requires member to use in network providers.
Different types of plan:
- Plan A & B, plan C, Plan F and plan G has moderate premiums and lower pocket expenses.
- Plans K&L- has lower premiums and lower pocket expense.
- Plan N- lower premium and moderate pocket expense.
Eligibility & enrolment for medigap policy:
- You must have basic medicare part A and part B.
- You need to be above 65 to buy a medigap. Some state allows less than 65 in certain cases of disabilities.
- During your open medicare open period enrol in medicare part B this last for 6 months only.
- Open enrolment begins the day you turn 65 or older than that.
- Once the medigap open enrolment period is over, it is difficult to join medicare supplement plan or to switch a plan.
Although it covers most of the things not covered by original medicare but it has its restrictions too. Long term care, dental care, hearing aids and prescription drugs are not covered (It is covered under Medicare advance plan). Below is the list of plan which are not medigap:
- Medicare Advantage Plans (like an HMO, PPO, or Private Fee-for-Service Plan)
- Veterans’ benefits
- Long-term care insurance policies
- Medicare Prescription Drug Plans