- Medicare supplement insurance for seniors

Medicare supplement insurance

Medigap - medicare supplement insurance The Medicare supplement insurance, also known as Medigap, which is sold by private companies and complement the original Medicare insurance. It is a known fact that Medicare covers the cost of healthcare, but there will be some gaps left to consider. As a senior, you might choose Medigap to cover your remaining healthcare costs, including co-insurance, deductibles, and co-payments. You will have to check whether you can qualify for the Medicare supplement insurance, as there are specific guidelines for acceptance.

In this article

What is medicare supplement insurance?

Who qualifies for the Medicare supplement insurance?

What to know about the Medicare supplement insurance?

What is the best Medicare supplement insurance plan?

Types of Medicare supplement insurance plans

Advantages of the Medicare supplement insurance

Understanding the Basics of Medicare: A Comprehensive Guide for Beginners

Navigating the world of healthcare can be overwhelming, especially when it comes to Medicare. As a government-sponsored health insurance program designed for individuals aged 65 and older, as well as certain younger individuals with disabilities, Medicare offers vital coverage for medical expenses. Whether you're nearing retirement age or just starting to learn about Medicare, this comprehensive guide will walk you through the basics, ensuring you're well-equipped to make informed decisions about your healthcare coverage.

What is Medicare and How Does It Work?
Medicare is divided into different parts, each serving a specific purpose:

Part A (Hospital Insurance): Part A covers inpatient hospital stays, skilled nursing facility care, hospice care, and some home health care. Most people qualify for Part A without paying a premium if they or their spouse paid Medicare taxes while working.

Part B (Medical Insurance): Part B covers outpatient services, doctor visits, preventive care, and durable medical equipment. It requires a monthly premium based on your income.

Part C (Medicare Advantage): Medicare Advantage plans are offered by private insurance companies approved by Medicare. These plans combine Parts A and B, often including additional benefits like dental and vision coverage.

Part D (Prescription Drug Coverage): Part D provides coverage for prescription medications through private insurance plans. The specifics of coverage, including premiums, deductibles, and formularies, vary between plans.

Eligibility and Enrollment

Most individuals become eligible for Medicare at age 65, regardless of their income or medical history. You can apply for Medicare through the Social Security Administration (SSA) up to three months before your 65th birthday. If you're already receiving Social Security benefits, you'll likely be automatically enrolled in both Parts A and B. If not, you'll need to enroll during your Initial Enrollment Period (IEP), which starts three months before you turn 65, includes your birth month, and ends three months after.

Navigating Enrollment Periods

Enrolling in Medicare involves careful timing to ensure you have the coverage you need when you need it. Besides the Initial Enrollment Period (IEP) mentioned earlier, there are other enrollment periods to be aware of:

General Enrollment Period (GEP): If you miss your IEP, the General Enrollment Period runs from January 1st to March 31st each year. Keep in mind that late enrollment might result in higher premiums for Part B.

Special Enrollment Period (SEP): Some individuals may qualify for a Special Enrollment Period due to certain life events, like moving to a new area, losing employer-based coverage, or retiring.

Annual Enrollment Period (AEP): For those with Medicare Advantage or Part D plans, the AEP occurs from October 15th to December 7th. During this time, you can make changes to your coverage for the upcoming year.

Understanding Medigap and Supplemental Plans

Original Medicare can leave gaps in coverage, leading many individuals to explore supplemental insurance options. Medigap, also known as Medicare Supplement Insurance, helps cover costs such as copayments, coinsurance, and deductibles that Original Medicare doesn't fully pay for. Medigap plans are standardized and offered by private insurance companies.

Costs and Coverage

While Part A is usually premium-free for those who've paid Medicare taxes, Part B and other parts may have associated costs. Part B premiums are based on income, with higher earners paying more. Deductibles, copayments, and coinsurance also apply, depending on the services received and the type of coverage.

Choosing the Right Coverage

Understanding your healthcare needs is essential when selecting the right coverage. Some individuals opt for Original Medicare (Parts A and B), while others choose Medicare Advantage plans for additional benefits. Consider factors such as your preferred doctors, prescription medications, and potential travel when making your decision.

Medicare serves as a critical healthcare safety net for millions of Americans. By comprehending its components, eligibility criteria, and coverage options, you can confidently navigate the world of Medicare and ensure that you're equipped with the right coverage to meet your healthcare needs as you enter the next phase of your life.

Staying Informed and Making Informed Choices

As you continue your journey into the world of Medicare, staying informed about updates and changes is essential. Medicare policies and regulations can evolve, impacting coverage and costs. Regularly checking the official Medicare website, attending informational seminars, and consulting with healthcare professionals can help you stay up-to-date with the latest information.

Exploring Medicare Advantage Plans

While Original Medicare (Parts A and B) offers comprehensive coverage, some individuals opt for Medicare Advantage (Part C) plans for additional benefits. These plans are offered by private insurance companies and often include coverage for services like dental, vision, and prescription drugs. It's crucial to carefully review the network of doctors and specialists covered by the plan, as well as any potential restrictions on accessing care outside the network.

Prescription Drug Coverage

Medicare Part D provides coverage for prescription medications, helping to alleviate the financial burden of necessary drugs. When selecting a Part D plan, known as a Prescription Drug Plan (PDP), it's important to assess the plan's formulary to ensure it covers the medications you need. Additionally, evaluating each plan's premium, deductible, and copayments will assist you in choosing the most cost-effective option.

Planning for the Future

As you navigate the complexities of Medicare, it's also wise to consider how your healthcare needs may change in the future. While Medicare covers a wide range of medical services, there are limitations, particularly in areas like long-term care. Exploring options for long-term care insurance or planning for potential healthcare expenses not covered by Medicare can help you maintain financial security and peace of mind.

Seeking Expert Advice

Given the intricacies of Medicare, seeking expert advice is a prudent step. Medicare specialists, insurance agents, and financial advisors can offer personalized guidance based on your specific circumstances. They can assist you in choosing the right plans, maximizing coverage, and minimizing out-of-pocket expenses.

Taking Control of Your Healthcare Journey

Continuing our exploration of Medicare, let's delve into some additional aspects to consider as you embark on your healthcare journey:

Mindful Decision-Making

Choosing the right Medicare coverage requires careful consideration of your individual needs. Reflect on your current health status, preferred healthcare providers, and any ongoing medical treatments or prescriptions. This thoughtful evaluation will guide you in selecting the most suitable plan to meet your unique requirements.

Medicare and Travel

For individuals who enjoy traveling or have residences in different states, understanding how Medicare works across state lines is crucial. While Original Medicare provides coverage nationwide, certain Medicare Advantage plans may have network limitations in specific areas. Make sure to choose a plan that accommodates your travel plans or dual-state residency.

Utilizing Preventive Services

Medicare emphasizes preventive care to promote overall well-being and catch health issues early. Many preventive services, such as screenings, vaccinations, and wellness visits, are covered at no additional cost under Part B. Taking advantage of these services can contribute to better health outcomes and early detection of potential health concerns.

Regular Reevaluation

As your healthcare needs evolve, it's important to reassess your Medicare coverage periodically. Open Enrollment periods, such as the Annual Enrollment Period (AEP), provide opportunities to adjust your coverage to align with your changing circumstances. This could involve switching plans, adding prescription drug coverage, or exploring supplemental options like Medigap policies.

Planning for Medigap

If you opt for Original Medicare (Parts A and B), consider the benefits of a Medigap policy. These policies, offered by private insurers, help fill the gaps in coverage left by Original Medicare. They can assist with out-of-pocket costs such as deductibles, copayments, and coinsurance, providing you with greater financial security during your healthcare journey.

Let's say you have the original Medicare insurance and you have been recommended to opt for the Medigap. You will be able to cover the healthcare services that the original policy doesn't include, such as the medical care for travels outside the US. As you might expect, Medicare pays the approved amount for the respective healthcare costs, with the Medigap covering the rest.

In order to benefit from the supplement insurance, you must have Medicare Part A and Part B. Medicare Part A covers different types of care, including home health care (not to the whole extent), hospice care, critical access hospitals, inpatient care, and skilled nursing care. On the other hand, Medicare Part B covers outpatient care, doctors' services and other type of care that is not covered by Part A. It is worth mentioning that the Medigap policy differs from the Medicare Advantage Plan. This has been designed to obtain the necessary Medicare benefits, while the Medigap policy is meant to supplement the Original Medicare.

To benefit from the Medicare supplement insurance, you will have to pay a monthly fee to the private insurance provider. Be sure to calculate your budget accordingly, as there is also the monthly premium to cover the Medicare Part B. This kind of policy only offers coverage for one person. If both you and your spouse are interested in the Medigap coverage, you will have to pay for two different policies. Medigap policies are available from any insurance provider, as long as they are licensed to sell this type of coverage. It is recommended to compare different insurance plans, as providers might have various offers to make. Your age might also influence the fees to be paid, but the good news is that many states limit the premium costs for the Medigap policy.

If your health takes a turn for the worse, you should not worry, as the standardized Medigap policy will be renewed. The insurance provider is not allowed to cancel the respective policy, provided you continue to pay your premium. New policies no longer include the drug coverage, but you might purchase a separate coverage, which is known as the Medicare Prescription Drug Plan (Part D). Even if you get both policies from the same provider, you will still have to make separate payments for the premium in question. Keep in mind that providers are not allowed to sell the Medigap coverage to those who have the Medicare Advantage Plan. The only exception to the rule involves you going back to the Original Medicare.

Who qualifies for the Medicare supplement insurance?

As you will see below, seniors who are 65 or over can qualify for the Medicare supplement insurance, with a specific initial enrollment period that starts with the first month of having the Medicare Part B insurance. It is a good idea to purchase the Medigap policy during the open enrollment, as you are allowed to make such purchases, despite having health problems. The cost will not differ from the policies sold to those with good health. It is recommended to enroll for the Medicare Part B insurance as soon as you are eligible, otherwise you might have to pay a late enrollment penalty.

Some states might have additional open enrollment periods, but this is usually an exception. According to federal law, Medigap policies cannot be sold to those under the age of 65, but certain exceptions might apply to this rule as well. Should you be allowed to purchase such a policy, despite not meeting the age limit, be prepared for it to cost more. If you apply for the Medigap coverage after the enrollment period has passed, you have no guarantees that insurance providers will be able to sell such a policy to you. You will have to meet the medical underwriting requirements.

Of course, there are exceptions with regard to the Medigap eligibility. For instance, if you are under the age of 65 but you have a disability, you may have to search for a state that marks you as an exception. Unfortunately, the Medigap policy is not available to those who are under this age and suffering from ESRD (end-stage renal disease) in all the states, so a thorough research is needed. If you have other health problems, keep in mind that the insurance provider cannot refuse you the right to purchase the Medicare supplement insurance (during the open enrollment period). They are also not allowed to make you wait for the coverage to start or sell the policy at a higher cost. After the open enrollment period concludes, the insurance provider might reserve the right to deny the policy, based on your health.

For seniors with a pre-existing condition, remember that the insurance provider might make you wait for the coverage to start. The waiting period might extend up to six months, after which the Medicare supplement insurance will cover the respective condition. However, you will still have the Original Medicare to fall back on, but you might have to cover the co-insurance or co-payment. The law states that you might shorten or avoid the waiting period altogether, should you purchase a Medigap policy during the open enrollment period, thus replacing what is known as the creditable coverage. Should you buy the policy while you have a guaranteed issue right (Medigap protection), the insurance provider will not be able to introduce the waiting period (valid for seniors with pre-existing conditions).

What should I know about the Medicare supplement insurance?

There are certain medical services or needs that the Medigap policy cannot cover. For instance, it does not cover the long-term care options, such as the non-skilled nursing care. The list might also include private-duty nursing, eyeglasses, hearing aids, vision or dental services. It might interest you to know that there are other insurance plans, which should not be confused with Medigap. These include the following: Medicare Advantage Plan, Medicare Prescription Drug Plan, Medicaid, Tricare, VA benefits, long-term care insurance, etc.

If you are interested in purchasing a new Medigap policy, there are certain things to be on the lookout for. The most important thing to consider is the timing, as you do not want to end up paying a late enrollment penalty. For first timers, there is a very simple process to follow. The first step is to find a provider and decide on the plan that you want. Even though the Medigap policies are standardized, you might find differences between the plans proposed. Of course, you should choose a plan that covers your needs. Once you are satisfied with the quote the company has sent, you can go ahead and buy the respective policy.

Many seniors are not certain when they should buy such a policy, but this is often connected to the start of the eligibility period. There is an open enrollment period, during which seniors can benefit from the most affordable and diverse plans. This is a six-month period, where seniors are allowed to buy a Medigap policy sold in their state, despite having health problems. When does this period start? Well, it actually begins with the first month in which you have Medicare Part B, with the age of 65 or older. It is worth mentioning that the initial period cannot be changed or repeated. Once the enrollment period has passed, it might no longer be possible to purchase such a policy. It might cost more, especially if you have health problems.

It is essential to understand that all Medicare supplement insurance policies are standardized. They are subjected to both federal and state laws, being meant to protect seniors. As a result, insurance providers can only sell standardized Medigap policies, clearly marked as such, so there is no confusion. Even though all the policies have the same basic benefits to offer, you might discover certain differences between plans. Each state might have a different view of what a standardized policy entails. In comparing the various Medigap plans, you will have to pay attention to the benefits offered, deductibles and out-of-pocket limits considered.

Interestingly enough, the Medigap policy might offer coverage for health-related expenses incurred while traveling outside the US. This is known as the foreign travel emergency health coverage, but be aware, as not all the standard Medigap plans have this kind of coverage. It might be a good idea to talk to your insurance provider and make sure that you are covered in case of health emergencies.

Overview of the Medicare supplement insurance plan

As you might have already figured out, the Medical supplement insurance complements the Original Medicare, Part A and Part B. Basically, you are using the respective policy to cover an existent gaps in your insurance. As the costs are predictable, you can be better prepared in case of emergencies, having the necessary coverage for out-of-pocket expenses. With this policy in place, you can see any type of doctor, provided the specialist in question accepts Medicare patients. In addition, you will not need a referral in order to see the desired specialist.

The coverage is valid throughout the entire US, no matter where you might travel, and you have access to a wide array of plans, guaranteed to fit both your needs and available budget. You might also consider purchasing the Medicare Part D prescription drug plan, as this guarantees the most complete coverage. All you need to do is make sure that you are paying your premiums when due, as this will guarantee coverage for life (plans cannot be canceled).

As previously stated, the Medigap policies offer standardized plans. All the plans have a basic structure to follow, but they might have additional benefits to offer. The more comprehensive the coverage, the higher the premium that will have to be paid. Keep in mind that the premiums will vary according to the insurance company, with possible changes each year. It is clear that the Original Medicare cannot pay for everything in terms of healthcare. By option for a Medigap policy, you might be able to cover expenses that are not covered by Medicare Part B. This might include both doctor and outpatient medical expenses. The same goes for the Part A co-insurance, the hospital coverage, and the co-insurance or co-payment for Part A hospice/respite care.

The Medigap policy is guaranteed renewable, but this doesn't mean a policy holder cannot be dropped, under specific circumstances. The most obvious case is the one in which you have failed to pay your premium. However, the same thing can occur if you have been untruthful with regard to policy specifics or in the rare event that the insurance company has gone bankrupt. Seniors with policies bought before 1990 might be dropped as well in some states, but the good news is that one will be given the right to buy another Medigap policy. It is for the best to contact your insurance provider and discuss such matters in-depth. Always remember that you have both rights and protections with regard to your Medicare supplement insurance, according to the Federal law.

What are the types of Medicare supplement plans?

It might be useful to know that there are different types of Medicare supplement plans available. These are alphabetically named, including plans from A to N, but should not be confused with the ones of the Original Medicare. The spectrum of options ranges from plans that guarantee basic coverage to those which are much more complex, thus delivering the highest possible level of coverage. In choosing a particular Medicare supplement insurance, you will have to consider both your financial situation and healthcare needs.

In analyzing the different plans available, you should pay attention to the benefits promises, including with regard to the Medicare Part A deductible, Medicare Part A co-insurance and coverage for hospital benefits, skilled nursing care co-insurance, hospice care co-insurance or co-payment, blood, Medicare Part B deductible, Medicare Part B co-insurance or co-payment, Medicare Part B excess charges, foreign travel emergency, additional programs and savings. The chosen plan should cover the out-of-pocket expenses, including co-insurance, co-payments, and deductibles, which are not usually covered by Medicare Part A and Medicare Part B.

According to the law, all Medigap plans require that seniors continue to pay their Medicare Part B premium, with a separate premium for the Medicare supplement insurance. Some plans have deductibles, but this is not always the case. Certain services might require co-payments, while others demand the coverage of co-insurance. Naturally, the percentage of co-insurance varies according to the chosen plan. The Medigap coverage does not have any limits, being available in the same areas where Medicare is accepted. As you have seen, foreign travel emergency services might be covered within the same plan. As long as you pay your premium and the plan is available, the policy automatically renews each year.

Let's take some examples, so that you can understand the differences between the available plans. The Medicare Supplement Plan A is the most basic plan, which also means that it has the lowest premium. As the insurance provider might point out, it's the only Medigap policy that does not provide coverage for the Part A deductible. The Medicare Supplement Plan F covers deductibles, as well as some co-payments and co-insurance. This plan is only available if you become eligible for Medicare before 2020. Alternatives are available in some states (Select and Innovative F). The same goes for the Medicare Supplement Plan C.

The Medicare Supplement Plan G provides coverage for all the out-of-pocket expenses, which are not covered by the Original Medicare. The coverage is offered for Medicare approved services, with the exception of the Medicare Part B deductible. As with the above-mentioned plan, both Select and Innovative G might be provided in certain states. The Medicare Supplement Plan N covers the co-insurance costs for Medicare Part A and Medicare Part B. Even though you will bear responsibility for the deductibles and co-payments, you will have to cover lower monthly premiums. Select and Innovative N might be available in certain states.

While the Medicare supplement insurance plans do not cover prescription drugs, you have the possibility to purchase a separate plan - Part D - for an additional premium. This will help you cover the necessary medication costs. As mentioned above, these insurance policies do not offer dental and vision coverage. Once again, you can purchase the needed coverage for an additional premium. The Innovative Medicare supplement insurance plan might also include vision and hearing benefits, but only in certain states.

There are specific differences between the Medicare supplement insurance and the Medicare advantage plan. With the first, by paying an additional premium, you might be able to purchase dental and vision coverage. This will complement the original Medicare coverage. The Part D plan can also be purchased to cover medication costs. Once you have enrolled in a particular plan, you can keep the same coverage. The renewal process is automatic, as long as you pay your premium. You are allowed to see any specialist or healthcare service that welcomes Medicare patients.

The Medical advance plan, on the other hand, includes dental, vision, and hearing coverage. Most plans falling into this category also provide coverage for prescription drugs. The plan is subject to change, and enrollment does not guarantee lifetime coverage. However, the premiums are much lower. If you are planning, you have to make sure that the same plan is available in the new area.

Every insurance provider is obliged to sell the Medicare Supplement Plan A. This is known as the basic or core benefit plan. All the plans include coverage for the Part A hospital copayment, additional days of hospitalization, and the Part B co-payment. Each plan has its own out-of-pocket limit, and it is for the best to be aware of the differences. Aside from the foreign travel emergency, coverage might be offered for at-home recovery and preventive care.

Advantages of the Medicare supplement insurance

If you are still not certain whether the Medicare supplement insurance is worth pursuing, maybe you would benefit from recounting the advantages to be derived. First of all, with the Medicare supplement insurance, you will benefit from predictable out-of-pocket costs. There are difference plans available, with low or no out-of-pocket copay, co-insurance or deductibles. The coverage is guaranteed for life, which means that the plan will stay the same each year. It will not change, even if your health should take a turn for the worse. All you have to do is pay the premium when the time is due.

By opting for this, you might be able to choose any doctor or hospital that accepts Medicare patients, without needing a referral. As stated above, you will receive coverage for health-related expenses during your travels outside the US. For a more complete coverage, you might purchase separate plans for vision, hearing, and dental insurance. There is also the Medicare Part D which offers coverage for prescription medication.

The Medicare supplement insurance can help you cover any existent gaps in your Original Medicare plan. As you have seen, there are different plans from which you can choose, each with its own benefits to offer. To qualify for the Medigap policy, there are specific guidelines that you need to meet, including in terms of age and insurance.

Frequently asked questions about Medicare

What is Medicare?
Medicare is a federal health insurance program in the United States that provides coverage to individuals aged 65 and older, as well as some younger individuals with certain disabilities or medical conditions.

What are the different parts of Medicare?
Medicare is divided into four parts: Part A (hospital insurance), Part B (medical insurance), Part C (Medicare Advantage plans), and Part D (prescription drug coverage).

When am I eligible for Medicare?
You are generally eligible for Medicare when you turn 65. However, eligibility can also be based on disability or specific medical conditions.

Do I need to apply for Medicare if I'm turning 65?
If you are already receiving Social Security benefits, you will typically be enrolled automatically in Medicare Parts A and B. If not, you may need to apply during your Initial Enrollment Period.

What does Medicare Part A cover?
Part A covers inpatient hospital care, skilled nursing facility care, hospice care, and some home health care.

What does Medicare Part B cover?
Part B covers outpatient medical services, such as doctor visits, preventive care, laboratory tests, and durable medical equipment.

What is Medicare Advantage (Part C)?
Medicare Advantage plans are offered by private insurance companies approved by Medicare. They provide coverage that combines Parts A and B, often including additional benefits like dental and vision.

What is Medicare Part D?
Part D provides prescription drug coverage through private insurance plans. It helps with the costs of prescription medications.

Can I have both Medicare and Medicaid?
Yes, some individuals are eligible for both Medicare and Medicaid. This is known as "dual eligibility," and it provides additional coverage and assistance with medical expenses.

Is there a cost for Medicare coverage?
Yes, there are various costs associated with different parts of Medicare, including premiums, deductibles, copayments, and coinsurance. The costs can vary based on your specific circumstances.

Can I make changes to my Medicare coverage?
Yes, you can make changes during the Annual Enrollment Period, which typically runs from October 15th to December 7th each year.

Do I need supplemental insurance with Medicare?
Some individuals choose to purchase Medicare Supplement Insurance (Medigap) to help cover costs that Original Medicare doesn't fully pay for, such as deductibles and coinsurance.

Products for seniors

Dentist For Seniors

Cell Phones For Seniors

Hearing Aids For Seniors

Adjustable Beds For Seniors

Medical Alert Systems For Seniors

Mobility Scooters For Seniors

Stair Lifts For Seniors

Walk-in Tub For Seniors

Electric Wheelchairs For Seniors

Indoor Exercise Bikes For Seniors

Lightweight Transport Wheelchairs

Post Surgery Pillows For Seniors

Walkers For Seniors

Stand Assist Devices For Seniors

Bed Rails For Seniors

Toilet Safety Rails For Seniors

Caregiver resources

Caregiving for elderly with Alzheimer's disease

Caregiving for elderly with diabetes

Caring for elderly with heart disease

Caring for seniors post heart surgery

Caring for older adults with Parkinson's disease

Caring for seniors with limited mobility

Caring for elderly with vision loss

This post may contain links that earn us an affiliate commission if you buy through our site.
Send us an e-mail at