Taking or having Medicare supplement plans is a wise investment, particularly for aging adults. This is essential as it helps in bridging the gap caused between the Traditional Medicare plans payments and that they do not pay. The payments that they do not pay are coinsurance, copayments, and deductibles. In the political climate today the health insurance plans that are government-sponsored is the Medicare supplement plans and they are important.
What Is Medicare Supplement
The 2019 Medicare supplement plans are referred to as Medigap policy. This is a private insurance policy paying for the health care costs that is not covered by the Original Medicare policy. Typically, they do not cover the costs such as deductibles and copayments, but they cover medical services that your Medicare policy fails to cover. For instance, you travel outside the United States; your health care costs will be covered by your Medicare supplement. A Medicare supplement covers one person only; it is not applicable to your spouse.
The Medigap policies are not the same as Medicare Advantage plans. This is because you can get in the first place the Medicare benefits offered by the Advantage plans, while the Medigap policies supplement the other coverage that the Medicare does not pay for. Thus, having both a Medicare Advantage plan and also the Medicare supplement plans is not possible. You will have to leave the Medicare Advantage plans if you wish to take the Medigap coverage. Thus, you can start with Medigap only after the coverage expiry of the Medicare Advantage plans. To be eligible for Medicare supplement plans you should have Part A and B Medicare.
Medigap Policy, do I need one?
The common reason to buy a supplement with Medicare is that the aging adults get fixed income and cannot afford to pay for the expenses of health care that is not covered by the Traditional Medicare policies. Typically, the Medigap policies pay for all the balance charges that are Medicare-approved after the payment of the primary policy. For instance, a Medicare supplement plans, Plan F type pays for all the deductibles of Part A and B, apart from the doctor and hospital coinsurance amounts.
In case your health turns for the worse, the advantage is that as long as you are paying the premiums regularly, the Medicare supplement plans are renewable automatically. The policies plans have no maximums as lifetime, thus your insurer has nothing to cancel the policy owing to the amount or frequency of your claims. In this way, Medicare supplement plans safeguard your retirement savings.