InsuranceThought — Blogs About Insurance

Unfortunately, as we age, it becomes more and more likely that we will experience some sort of issues with our health. Yet many of us will reach this point with little or no money set aside to pay for the extra care we will need when the time comes. It can be quite a difficult situation to find yourself in; even though you will have Medicare coverage, it may not be enough.

That’s where a Medigap policy can be helpful. Medigap is a health insurance policy that is sold by private insurance companies; it fills the “gaps” that occur with the Original Medicare Plan coverage. Medigap will help you pay some of the costs for healthcare that Medicare doesn’t cover.

All insurance companies must offer a “standardized” Medigap policy. The policies all must have specific benefits; this allows you to compare them easily.

There are up to 12 standardized Medigap plans (Medigap Plans A through L). They must follow Federal and State laws, which are there to protect you. Each policy must be clearly identified as a “Medicare Supplement Insurance.” Plans A through L each have different sets of basic and extra benefits.

You’ll want to compare all Medigap policies as the costs and benefits of each vary. Individual insurance companies decide which policies to sell, so you should always research each prior to making your decision.

In general, purchasing a Medigap policy provides you with Medicare Part A and Part B. Medicare Part B requires a monthly premium; additionally, you will have to pay your Medigap insurance company a premium on a monthly basis.

Your Medigap policy doesn’t cover your spouse; you will each need your own policy. Be sure to do your research on this very important supplemental policy!