What is Medicare Supplement?
- Medicare Supplement policies (also known as Medigap policies) are standardized and must follow federal and state laws designed to protect you and identified in most states by letters (see the chart below)
- A Medicare Supplement (Medigap) insurance, sold by private companies, can help pay some of the health care costs that Original Medicare doesn't cover, like co-payments, coinsurance, and deductibles.
- If you have Original Medicare and you buy a Medigap policy, Medicare will pay its share of the Medicare-approved amount for covered health care costs. Your Medigap policy pays its share.
- Some policies offer additional benefits, so you can choose which one meets your specific needs.
- In Massachusetts, Minnesota, and Wisconsin, Medigap policies are standardized in a different way.
***As licensed insurance agents we can help you understand the differences between the plans so that you can decide on the right plan for you whether it be Medicare Supplement or Medicare Advantage.
What you need to know about Medicare Supplement policies
- You must have Medicare Part A and Part B.
- If you have a Medicare Advantage Plan, you can switch to a Medicare Supplement insurance policy, but make sure you can leave the Medicare Advantage Plan before your Medicare Supplement insurance policy begins.
- You pay the private insurance company a monthly premium for your Medicare Supplement insurance policy in addition to the monthly Part B premium that you pay to Medicare.
- 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 Medicare Supplement insurance policy from any insurance company that's licensed in your state to sell one.
- Any standardized Medicare Supplement insurance policy is guaranteed renewable even if you have health problems. This means the insurance company can't cancel your Medicare Supplement insurance policy as long as you pay the premium.
- Medicare Supplement insurance 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 Advantage Plan, unless you're switching back to Original Medicare.
Keep in mind, that the Medicare Supplement policy covers co-insurance after you've paid the deductible (unless the Medigap policy also pays the deductible).
Compare Medicare Supplement plans side-by-side
* Plans F and G also offer a high-deductible plan in some states. With this option, you must pay for Medicare-covered costs (coinsurance, copayments, and deductibles) up to the deductible amount of $2,700 in 2023 before your policy pays anything. (Plans C and F aren't available to people who were newly eligible for Medicare on or after January 1, 2020.)
** For Plans K and L, after you meet your out-of-pocket yearly limit and your yearly Part B deductible, the Medigap plan pays 100% of covered services for the rest of the calendar year.
*** Plan N pays 100% of the Part B coinsurance, except for a copayment of up to $20 for some office visits and up to a $50 copayment for emergency room visits that don't result in inpatient admission.
This information comes from www.cms.gov
By contacting the phone number on this website you will be directed to a licensed local agent.
- Medicare Simplified
- Am I Eligible for Medicare?
- When Can I Enroll in Medicare?
- Join/Change a Medicare Plan & Enrollment Dates
- What is Medicare Advantage (MAPD)?
- What is Medicare Supplement?
- What is Part D (PDP) Prescription?
- I Am Still Covered By My (or Spouses) Employer coverage, do I need to apply for Medicare?
- Medicare 2023 costs at a glance
- X-Compare Medicare Supplement plans side by side