What Is A Medicare Supplement Plan?
What is a Medicare Supplement Plan? If you choose Original Medicare for your health care coverage and don’t have additional health insurance such as Medicaid, or employee or union coverage, there’s NO MAXIMUM to the amount you may have to pay out of pocket every year for your health costs – UNLESS you also buy a Medicare Supplement Plan (also called Medigap.)
You can ACCESS Medicare's "2022 Choosing a Medigap Policy" by clicking HERE, although we also offer easy to understand information below. (The 2023 "Choosing a Medigap Policy" from Medicare.gov should be available after January 1, 2023.)
Private insurance companies offer Medicare Supplement Plans in your state.
A Medicare Supplement Plan (also known as Medigap) is supplemental health insurance that COORDINATES with Original Medicare Part A and Part B to cover the cost of medical care and related supplies that aren’t covered by Original Medicare. These charges include the 20% coinsurance and deductibles that can really add up.
You must first enroll in Medicare Parts A and Medicare Part B before purchasing a Medicare Supplement Plan. You cannot purchase a Medicare Supplement Plan without enrolling in Medicare Part A and Medicare Part B (Original Medicare.) However, you CAN purchase a different type of plan, Medicare Advantage Plan (Medicare Part C), instead of enrolling in Original Medicare. Find more information about Medicare Advantage Plan here.
Long term (nursing home) care, dental care, vision services, eyeglasses, hearing aids or private duty nursing are usually not covered by Medicare Supplement Plans, but it may be possible to find a Medicare Advantage Plan that does cover these services.
A key benefit of Medicare Supplement Plans is improved budgeting and minimizing your risk of unexpected health care costs. Original Medicare covers a lot, but can leave significant costs for you to cover "out of pocket" as well.
Is a Medicare Supplement Plan worth it?
Under Original Medicare, (Part A) hospital costs can escalate very quickly -- even when you are only paying 20 percent of the total cost. Medicare Part A also requires a per "benefit period" deductible ($1,600 in 2023). This is not a one-time annual deductible. You could experience more than one benefit period (separate, additional $1,600 deductible amounts each time) within a calendar year.
Even without a hospitalization event, the 20 percent co-insurance and co-pays for your regular (Medicare Part B) doctors and health care services can add up.
A Medicare Supplement Plan can easily pay for itself.
Is a Medicare Supplement Plan worth it? YES!
If you would like a Medicare Agent to help you explore your Medicare health insurance options, why not call us today?
If you were wondering "what is a Medicare Supplement Plan" we hope the above information helps. But, why not contact us today anyway? As a Medicare Agent we would be happy to help you determine whether a Medicare Supplement Plan, Medicare Advantage Plan, or some other option provides you with the best health care benefits at the lowest cost.
The reference information shown on this page can also be found at www.medicare.gov.