What is a Medicare Supplement?
Medicare Supplement (Medigap) Insurance helps fill "gaps" in Original Medicare. Original Medicare (Part A and Part B) pays for much, but not all, of the cost for covered health care services and supplies. A Medigap policy is sold by private companies and can help pay some of the remaining health care costs, such as deductibles, copays, and coinsurance.
Not all plans that supplement your Original Medicare benefits are considered a Medigap plan. For instance:
What does my Medsup plan pay for?
Some Medsup plan cover services not covered by Original Medicare, such as care received outside of the country. Medigap policies generally don't cover long-term care, vision or dental care, hearing aids, eyeglasses, or private-duty nursing.
Will my new Medsup plan pay for prescription drugs?
No. In the past some plans covered prescription drugs but Medigap policies sold after January 1, 2006 aren't allowed to include prescription drug coverage. If you want prescription drug coverage, you can join a Medicare Prescription Drug Plan (Part D). If you buy Medigap and a Medicare drug plan from the same company, you may need to make 2 separate premium payments. Contact the company to find out how to pay your premiums.
Can I get a Medsup plan to suppliment my Advantage plan?
No. It's illegal for anyone to sell you a Medigap policy if you have a Medicare Advantage Plan, unless you're switching back to Original Medicare.
What if I purchased my Medsup plan before January 1, 2006 and now want to cancel it?
You may want a completely different Medigap policy (not just your old Medigap policy without the prescription drug coverage). Or, you might decide to switch to a Medicare Advantage Plan that offers prescription drug coverage. If you decide to drop your entire Medigap policy, you need to be careful about the timing. When you join a new Medicare drug plan, you pay a late enrollment penalty if one of these applies:
What else do I need to know?
Medicare Supplement (Medigap) Insurance helps fill "gaps" in Original Medicare. Original Medicare (Part A and Part B) pays for much, but not all, of the cost for covered health care services and supplies. A Medigap policy is sold by private companies and can help pay some of the remaining health care costs, such as deductibles, copays, and coinsurance.
Not all plans that supplement your Original Medicare benefits are considered a Medigap plan. For instance:
- Medicare Advantage Plans (like an HMO, PPO, or Private Fee-for-Service Plan)
- Medicare Prescription Drug Plans
- Medicaid
- Employer or union plans, including the Federal Employees Health Benefits Program (FEHBP)
- TRICARE
- Veterans' benefits
- Long-term care insurance policies
- Indian Health Service, Tribal, and Urban Indian Health plans
What does my Medsup plan pay for?
Some Medsup plan cover services not covered by Original Medicare, such as care received outside of the country. Medigap policies generally don't cover long-term care, vision or dental care, hearing aids, eyeglasses, or private-duty nursing.
Will my new Medsup plan pay for prescription drugs?
No. In the past some plans covered prescription drugs but Medigap policies sold after January 1, 2006 aren't allowed to include prescription drug coverage. If you want prescription drug coverage, you can join a Medicare Prescription Drug Plan (Part D). If you buy Medigap and a Medicare drug plan from the same company, you may need to make 2 separate premium payments. Contact the company to find out how to pay your premiums.
Can I get a Medsup plan to suppliment my Advantage plan?
No. It's illegal for anyone to sell you a Medigap policy if you have a Medicare Advantage Plan, unless you're switching back to Original Medicare.
What if I purchased my Medsup plan before January 1, 2006 and now want to cancel it?
You may want a completely different Medigap policy (not just your old Medigap policy without the prescription drug coverage). Or, you might decide to switch to a Medicare Advantage Plan that offers prescription drug coverage. If you decide to drop your entire Medigap policy, you need to be careful about the timing. When you join a new Medicare drug plan, you pay a late enrollment penalty if one of these applies:
- You drop your entire Medigap policy and the drug coverage wasn't creditable prescription drug coverage
- You go 63 days or more in a row before your new Medicare drug coverage begins
What else do I need to know?
- You must have Medicare Part A and Part B.
- A Medigap policy is different from a Medicare Advantage Plan.
- You pay the private insurance company a monthly premium for your Medigap policy. You will still need to pay your monthly Medicare Part B premiums.
- A Medigap policy only covers one person. If you and your spouse both want Medigap coverage, you'll each have to buy separate policies.
- You can buy a Medigap policy from any insurance company that's licensed in your state to sell one.
- Any standardized Medigap policy is guaranteed renewable even if you have health problems. This means the insurance company can't cancel your Medigap policy as long as you pay the premium.