Medigap, also known as Medicare Supplement Insurance, is a type of private health insurance that is designed to help pay some of the healthcare costs that Original Medicare (Part A and Part B) doesn’t cover, such as copayments, coinsurance, and deductibles. Medigap policies are sold by private insurance companies and can help to fill the gaps in healthcare coverage that Medicare leaves.
Key Features of Medigap
Coverage: Medigap plans cover costs not fully covered by Medicare Part A and Part B, helping reduce out-of-pocket expenses.
Standardization: By law, Medigap policies must follow federal and state laws designed to protect consumers. Medigap policies are named by letters (e.g., Plan A, Plan B, etc.), and the benefits in any Medigap Plan A is the same as any other Medigap Plan A.
Choice: Buyers can select from a variety of Medigap plans depending on their health needs and which round of costs they are willing to pay out-of-pocket.
Eligibility: To purchase Medigap, one must be enrolled in Medicare Part A and Part B. There is an open enrollment period for Medigap that begins the first month you turn 65 and lasts for six months.
Guarantee of Renewability: Medigap policies typically ones tours are guaranteed renewable even if one develops health problems, as long as the premiums continue to be paid on time.
Important Notes
Timing: Signing up for a Medigap policy when you are first eligible can avoid additional charges. If you wait, your options may be limited, and you might end up paying significantly morecriptionsl costs.
Prescriptions: Note that Medigap plans sold after January 1, 2006, aren’t allowed to include prescription drug coverage. If you need drug coverage, you can join a Medicare Prescription Drug Plan (Part D).
External Resources
For more detailed information and assistance with choosing the right Medigap plan, you can visit:
State Health Insurance Assistance Programs (SHIPs) which offer local, personalized counseling and assistance to people with Medicare and their families. *
