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Medicare Supplemental (Medigap): Beginners Guide

medigap (also known as medicare supplemental) written in paper that is under stethoscope and pen

Medicare extends services to qualifying individuals who need health insurance. However, there are many out-of-pocket costs of Medicare including deductibles, copayments, and coinsurance. Medicare Supplemental plans, also known as Medigap, provide coverage for these out-of-pocket payments at a cost-effective rate.

What Is Medicare?

Medicare is a type of health insurance that consists of four parts: A, B, C, and D. Parts A and B of medicare are considered original Medicare. 

Medicare Part A covers hospital insurance. Hospital insurance includes coverage for inpatient care in a hospital, skilled nursing facility care, nursing home care, hospice care, and home health care.

Medicare Part B offers coverage for medical insurance. The services covered include doctors’ services and fees, outpatient care, and some medical expenses linked to medical procedures. 

Medicare Part C is also known as Medicare Advantage. It utilizes the structure of original Medicare while providing coverages that the original Medicare wouldn’t typically cover; these coverages include vision, hearing, and dental. Nevertheless, Medicare Part C is only available through private insurers and coverage depends on location.

Medicare Part D provides separate coverage for prescription drugs. Medicare Part D is optional, and only available through private insurance companies.

Qualifications

To qualify for Medicare, individuals must be at least 65 years of age or diagnosed with a life-altering disability.

Those with permanent kidney failure (End-Stage Renal Disease) are also eligible for Medicare.

What Is Medigap?

Medicare is an inexpensive way for those in need of healthcare to get the coverage they need. However, the original Medicare does not cover deductibles, copayments, and coinsurance costs. As a result, private insurance companies offer supplemental plans to aid Medicare recipients with their out-of-pocket expenses. These Medicare supplemental plans are often referred to as Medigap.

Pros of Medigap

The major selling point of Medigap is that it prevents individuals who already have Medicare coverage from having to pay out of pocket for a variety of expenses. There are many underlying costs associated with original Medicare. Medigap offers Medicare recipients a way to reduce out-of-pocket costs while still making the most of their inexpensive coverage.

Cons of Medigap

Medigap plans do not offer prescription drug coverage. If you require prescription drug coverage, consider Medicare Part D as an additional component of your Medicare and Medigap coverages. 

Medigap plan holders may also still be required to pay the premium of their Medicare Part A and Part B plans in addition to their Medigap premium. Depending on the plan you choose, you still may have to pay a percentage of your deductibles, copayments, or coinsurance. That is why Begus Insurance Group’s vetted insurance experts will make the process of finding you the right plan easy and affordable.

Plans Available for Medigap

Medigap has a plethora of different plans that vary in both premium and coverage. Medigap plans are available as plans A through N. Each of these plans is distinct regarding the coverages provided. Coverages offered among each plan include deductibles, copayments, coinsurance, hospital costs, first three pints of blood, hospice, skilled nursing care, excess charges, and foreign travel emergency. A select few plans even feature out-of-pocket limits, providing increased financial protection for Medicare recipients.

How Can I Hear More About Medigap?

Finding the right Medigap plan for you should not be a daunting task. Begus Insurance Group offers expertise concerning Medigap plans, and our licensed agents are always available to help guide you toward the plan that will be most beneficial for you. Contact us today for a free consultation!