Medicare Supplements
Original Medicare (Medicare Part A and Medicare Part B) may cover many of your healthcare needs, but there are gaps in coverage. Medicare Supplement Insurance, also referred to as Medigap, is private insurance that helps fill these gaps in Original Medicare to reduce your out-of-pocket costs.
These plans can help pay for health care costs like deductibles, copayments, and coinsurance. Some Medicare Supplement policies also cover things like medical care when you travel outside the United States.
How Do Medicare Supplements Work?
Medicare Supplement plans are an addition to, not a replacement for, your Original Medicare benefits. When you buy a Medigap policy, you pay the insurance company a monthly premium in addition to the monthly premium(s) you pay for Original Medicare.
Once you’re covered, Medicare pays its share of your covered health care costs. Then, your Medicare Supplement policy pays its share, and you pay the remaining costs if there are any.
Who Can Get Medicare Supplements?
You can get a Medicare Supplement policy if you have Original Medicare. However, suppose you have a Medicare Advantage plan (Medicare Part C). In that case, you can’t get a Medicare Supplement plan unless you’re switching back to Original Medicare.
What’s Covered Under Medicare Supplements?
There are a variety of Medicare Supplement plans that cover a variety of different things. However, Medicare Supplement plans generally don’t cover:
• Prescription drugs
• Vision
• Dental
• Hearing aids
• Private-duty nursing
• Long-term care
The following are available Medicare Supplement, or Medigap, plans:
• Medigap Plan A
• Medigap Plan B
• Medigap Plan C
• Medigap Plan D
• Medigap Plan F
• Medigap Plan G
• Medigap Plan K
• Medigap Plan L
• Medigap Plan M
• Medigap Plan N
How Much Do Medicare Supplements Cost?
Medicare Supplement plans are “rated” or priced in three different ways: issue-age-rated, community-rated, and attained-age-rated:
• Issue-age-rated plans charge premiums based on how old you are when you buy the plan. Therefore, the younger you buy, the less they cost, and they will not go up as you age.
• Community-rated plans charge the same monthly premium to everyone, regardless of age.
• Attained-age-rated plans charge premiums based on your current age. Thus, the premiums go up as you get older.
Plan premiums are subject to increase based on inflation and other factors.
Find The Plan That's
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Wondering If Medigap Is Right For You?
American Insurance Group can help you make the right choice for your medical and financial needs. We’re here to help you get the peace of mind you deserve in your retirement, knowing that your healthcare is taken care of. Contact us today!
