Understand Medicare Supplement Plans A Through N ,”Medicare supplements are often also called Medigap policies. This is because they are private insurance policies that fill in gaps for those medical expenses that Medicare doesn’t cover or doesn’t completely cover.
Original Medicare consists of Part A and Part B. These two parts of original Medicare are often thought of as hospital and medical coverage. While these two parts of original Medicare cover quite a bit, most beneficiaries know that they can still generate large medical bills because of coinsurance and deductibles.
While Medicare supplement policies are sold by private health insurance companies that are licensed to do business in a particular state, these policies all have to provide standard benefits that are either set at the state or national level. In most states, plans are offered in levels that have letter names from Plan A to N, and these are the standard plan levels defined on the Medicare website.
How To Shop For Medicare Supplement Insurance Policies
The key thing for Medicare beneficiaries to understand is that each supplement will offer exactly the same benefits from one company or another. For example, Plan F from one company will be the same as Plan F from another one. However, each insurance company can determine its own premiums. This is why it only makes sense to shop the market for available health insurance companies to compare Medicare supplement insurance premiums.
Medicare Supplement Plan Benefits
All supplements must offer certain basic benefits. For example, all of the plan levels cover the Part A hospital deductible. Beyond that, some offer much more. For example, Plan F covers a range of expenses that even include emergency travel in another country and medical providers who charge more than Medicare says that they should. Obviously, the more coverage that a plan level provides, the more expensive it will be.
This short list covers the basics of common supplements:
– Plan A: This is considered the most basic supplement.
– Plan F: This supplement has all benefits that are allowed for supplements.
– Plan C: This robust supplement is similar to Plan F, but it doesn’t offer coverage for the Part B deductible.
– Plan F with a high deductible: This supplement provides the same coverage as standard Plan F, but it only begins to pay after a yearly deductible has been satisfied by the policy owner.
Which Medicare Supplements Do Most People Buy?
Here’s an interesting thing about people who buy Medicare supplements. The two plan levels that offer the broadest range of benefits are Plan C and F. They are also the two most commonly purchased supplement levels and the most expensive. It might be fair to conclude that people who do purchase Medicare supplements are more concerned about having broad medical coverage than they are about cheap supplement premiums. For people who need to use a lot of medical services, paying more for a comprehensive supplement could be a frugal choice.