What is Medigap Insurance, anyways? It is very common to get confused between Medicare, Medicare Supplements and Medigap.
When you finish this 2 minute article you will have a much better understanding of the basics of Medigap insurance.
We will review the most common questions associated with Medigap insurance, such as; ‘What is Medigap Insurance?’, ‘What Is Medigap Plan F?’, and ‘How Much Does Medigap Cost?’.
What Is Medigap Insurance?
Medigap Insurance is private health insurance that covers the ‘gap’ between what Medicare Part A and Part B insurance includes with Medigap Plans covering the difference.
Medicare only covers a portion of your hospital and doctors’ visits.
You will be responsible for paying for what Medicare does not if you do not have Medigap Insurance, Medicare Supplements, Medicare Advantage or another supplemental health insurance program.
main coverage benefits Medigap Insurance can provide
- Medicare Part A Hospital Co-Insurance
- 365 Hospital Reserve Days
- Part B Co-Insurance/Co-Payment
- Blood (First 3 Pints)
- Hospice Co-Insurance/Co-Payment
- Skilled Nursing Facility Co-Insurance
- Medicare Part A Deductible
- Medicare Part B Deductible
- Medicare Part B Doctors’ Excess Charges
- Foreign Travel Benefit
Whether your Medigap Insurance plan will include all those benefits will depend on the plan you choose.
What Is Medigap?
The word Medigap is just another word for Medicare Supplement Plans, Med Sups, Medicare Supplements and Supplement Plans.
I know it can be confusing when you read one term used and then another in the same article.
Understand that they all are referring to the ten Medigap plans that are offered to supplement your out-of-pocket Medicare insurance costs.
Medigap is a private insurance regulated by the government to provide additional medical coverage for hospital and doctors’ visits.
Medicare only covers a percentage of your medical costs and Medigap insurance can cover some or all of the additional costs.
The amount that the Medigap plan will cover is different from plan to plan.
Some plans only cover a small portion of the ‘gap’ while others will almost cover everything.
What Is Medigap Plan F?
Medigap Plan F aka Medicare Supplement Plan F has been the top choice of Seniors for many years.
However, congress voted for the plan to be discontinued effective at the end of 2019.
Medigap Plan F was the Cadillac of the Medicare Supplement plans offering complete gap coverage and even paying both your Medicare Part A and Part B premiums.
Which is where it got into problems, it was determined that because Medigap Plan F included the payment for Medicare Part B (doctors’ visits) people would make appointments to see their doctor for minor ailments because it cost them nothing.
What the government study found was that when a Plan F member made an appointment for something minor and it went away on its own, they wouldn’t cancel their upcoming doctors’ appointment.
Or they would go and see the doctor for very minor things that usually a doctor would not be consulted upon.
It was determined that by doing away with this plan, this problem would stop and the costs relative to all the remaining plans would be better aligned.
| BENEFITS | PLAN N | PLAN G | PLAN F |
|---|---|---|---|
| Part A HospitalCo-Insurance | YES | YES | YES |
| 365 Hospital Reserve Days | YES | YES | YES |
| Part B Co-Insurance /Co-Payment | YES | YES | YES |
| Blood Benefit(First 3 Pints) | YES | YES | YES |
| HospiceCo-Insurance /Co-Payment | YES | YES | YES |
| Skilled Nursing Facility Co-Insurance | YES | YES | YES |
| Part A Deductible | YES | YES | YES |
| Part B Deductible | NO | NO | YES |
| Part BExcess Charge | NO | YES | YES |
| ForeignTravel Benefit | 80% | 80% | 80% |
| Out Of Pocket Limit | N/A | N/A | N/A |
How Much Does Medigap Cost?
The cost for Medigap coverage is regulated by each States insurance agency. There can be quite a large premium difference between each carriers Medigap plans, so it is wise to work with an advisor who has access to at least the top 5 lowest priced plans in your state. While Aetna may be very competitive in one state, Heartland National may be more competitive in your state.
Medigap insurance is provided by private insurance companies but heavily regulated by the government.
There are ten different Medigap plans that you can choose from, Plans A, B, D, F, G, K, L, M, N.
Each plan offers different combinations of benefits.
The costs of each plan are different and the costs also are different based on where you live.
Contact a Senior Benefits Medigap expert today to discuss your particular situation and get a free, no obligation, quote just for you.
Taking Action!
Now that you have a much better understanding of What Is Medigap Insurance and what it covers, it’s time to discuss your situation with a Senior Benefit Services expert. You can reach us at (800)924-4727.
There is a limited time you are eligible to enroll during your one-time open enrollment period or the costs of Medicare Supplement coverage can increase dramatically.
Contact Senior Benefit Services today to find out what the best combination of coverage’s are for you.