A Medicare Supplement (Medigap) insurance, offered by private companies, covers healthcare costs, which Original Medicare is unable to cover – coinsurance, co-payments, & deductibles.
If you are covered by Original Medicare, and you purchase a Medigap plan, Medicare will cover its share of the healthcare costs. The Medigap policy will do the same.
A Medigap policy is not the same as a Medicare Advantage Plan. Medicare Advantage Plan serves to get access to Medicare benefits. A Medigap policy, on the other hand, serves only as an addition to the Original Medicare.
Things to know about Medicare Supplement policies
- You have to have Medicare Part A and Part B in order to have it.
- If you are enrolled in Medicare Advantage Plan, you can switch to a Medicare Supplement insurance policy. Please keep in mind that you need to leave your Medicare Advantage Plan before your Medicare Supplement insurance policy starts.
- You spend the private insurance company a monthly premium for the Medicare Supplement insurance policy in addition to the monthly Part B payments for Medicare.
- Should you and your partner both want Medigap coverage, each of you will have to purchase individual policies. A Medigap policy only covers one person.
- Any insurance company licensed to sell Medicare Supplement policy in your state should be able to sell you that policy.
- You are guaranteed the renewal of policy as long you continue to pay your premiums in time, even in case of health issues.
- Medicare Supplement insurance policies sold after January 1, 2006, are not allowed to include prescribed drug coverage. Should you require it, you can enroll in a Medicare Prescription Drug Plan (Part D).
- It is illegal for anyone to sell you a Medigap policy if you are a Medicare Advantage Plan user. The only exception is when you are changing your plan back to Original Medicare.
These definitions are directly from www.medicare.gov
By contacting the phone number on this website you will be directed to a licensed agent.