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A Comprehensive Guide to Supplemental Health Insurance Plans to Medicare

Supplemental Health Insurance Plans to Medicare

While seniors can agree on how Medicare health coverage is a relief, many will say otherwise, especially patients who require frequent hospital visits. But why? You see, even after Medicare coverage, policyholders have to pay 20% of total bills in the form of coinsurance and copayments. This is where supplemental health insurance to Medicare comes in.

Let’s find out about it.

What is Medicare Supplement Health Plan?

A supplement plan of any type helps in paying the extra healthcare cost. So, for example, in a typical Medicare plan, you’ll have to pay a deductible, 20% coinsurance, and copayments from out-of-pocket. With a supplement health plan, you never have to worry about these excess costs.

These supplement plans are not regulated by the government and are sold by private companies. For Medicare especially, the supplement plan available is Medigap. Once you purchase a Medigap plan, the provider will pay the extra cost.

Here’s more on Medigap Eligibility:

Eligibility for a Supplement Health Insurance Plan to Medicare

People aging sixty-five or more and those receiving Social Security benefits are only eligible for Medicare. Similarly, not everyone can enroll in a Medigap plan except the following cohorts:

  • Elders (65 or more)
  • Social Security benefits recipients
  • ALS patient
  • ESRD patient

Furthermore, you should also be enrolled in Medicare Part A and Part B to be eligible for Medigap. Moreover, a Medigap covers only a single person. Hence, if you want to cover your spouse or full family, you’ll require a separate plan for each family member.

In the past, Medigap used to cover Part D prescription Medication coverage payments. But that’s not the case anymore for people who enrolled in the Medigap after January 2006. In addition, you should know that there are notable differences between Medigap and Medicare Advantage plans.

The latter one is a replacement of the original Medicare plan, while Medigap and Original Medicare co-exists together. Furthermore, it’s illegal to get a Medigap on a Medicare advantage plan. Similarly, you can continue a Medicare savings account with a Medigap, but the option to contribute to the saving account is not available.

Premiums of Medigap

There is no one set premium for Medigap. Each company sets it in one of the following ways:

  • Community-based: Premiums are the same for everyone.
  • Entry-age related: It’s assumed that a young policyholder will have a low premium.
  • Attained age-related: The premium increases as one ages.

That’s not it. Companies also factor in habits, location, gender, lifestyle, and marital status to decide the premium. Fortunately, if you’re a social security recipient, you’ll be protected from the rising premiums as per the Medicare hold harmless provision ruling.

What Medigap Doesn’t Cover

Although Medigap covers extra healthcare costs, it doesn’t pay for every service. Some of them include:

  • Vision
  • Long term care
  • Private nursing
  • Hearing aids
  • Eyeglasses

Parting Thoughts!

If you’re someone with high monthly hospital bills, supplemental health insurance to Medicare can come in handy. If you’re looking to enroll in one, look no further than New Medicare.

Get your quotes and accept Medicare supplement coverage plans today!

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