Performing a Medicare Supplement Insurance plans comparison by yourself can be difficult, but DirectMedSup is here to help make your decision easier. With 10 different policies to choose between, each with a different corresponding letter, selecting a plan can feel like sorting through a bowl of alphabet soup. When deciding on a Medicare Supplement Insurance policy, also known as a Medigap policy, it’s often easier to make a side-by-side comparison of each plan.
Before you compare the benefits of each plan, it’s important to remember a few things about supplement insurance. The first is that a Medigap policy doesn’t replace traditional Medicare, it works in coordination with Medicare to provide additional health care coverage. Since Medicare doesn’t cover all of your out-of-pocket costs, a Medicare Supplement Insurance plan can save you a significant amount of money.
Medigap plans are government regulated with mandated benefits, but they are provided by private health insurers. They are standardized across the industry. This means that a Plan G policy provided by one insurer will include the same coverage benefits as a Plan G policy by another. While the coverage is the same, premium costs may differ depending on the insurer, where you live, and other factors.
When doing a Medicare Supplement Insurance plans comparison, which out-of-pocket costs do I need to cover?
This is an important question to answer, and you will need to review your budget to decide which plan works best for you and your family. Here are a few of the Medicare costs you may be responsible for without a Medigap plan:
- Deductibles. Both Medicare Parts A and B have deductibles. These are the costs you are responsible for before Medicare fulfills your insurance claims.
- Coinsurance. This is the cost you are expected to pay for certain medical services. Once you meet your Part B deductible, you generally pay 20% of the Medicare-approved amount for most services.
- Co-payments. These are fixed amounts you pay for medical care once you meet your deductible. These payments can vary from year to year.
You can avoid paying some, or even all, of these out-of-pocket charges by enrolling in the right Medicare Supplement Insurance plan.
What does each plan cover?
Each of the 10 plans is identified by a specific letter: A, B, C, D, F, G, K, L, M, or N. Each plan provides a certain amount of coverage against the out-of-pocket costs listed above, but some policies offer more coverage than others.
It’s no coincidence that the three most popular Medigap plans offer some of the most comprehensive coverage available. Here is a brief description of these three plans:
- Plan F. This is the most comprehensive plan, as it covers all of the gaps missed by Traditional Medicare. This means that you can avoid all of your out-of-pocket costs by enrolling in a Plan F policy.
- Plan G. This plan is quickly becoming the most popular supplement. It covers almost all of your coverage gaps, excluding your Part B deductible. In many cases, Plan G is the best value for beneficiaries.
- Plan N. This plan is similar to Plan G in many respects. The main difference between Plans N and G is that Plan N doesn’t cover Medicare Part B’s excess fees and certain copayments.
Other options are also available. Give us a call at (866) 254-9197 to find out what other plans may be available to you.
You know the basics. Now what?
When comparing your options, you should consider what your health care needs will be for the upcoming year and what your budget will be during retirement. Once you’ve crunched the numbers, making a final decision will be much easier.
Our agents have years of experience helping individuals perform a Medicare Supplement Insurance plans comparison to help them choose a plan they can be comfortable with in the long run. You likely have questions about these plans, and the agents at DirectMedSup can answer them. Give us a call today at (866) 254-9197 to discuss your Medicare Supplement options.