Insurance companies that sell Medigap Insurance.
Remember, Medicare Supplemental insurance polices are ‘Standardized’, meaning that the benefits for each plan have exactly the same benefits for every company that sell those plans. If you live in Minnesota, Wisconsin or Massachusetts the standard Medigap plans have slightly different benefits. It is not common for any insurance companies to provide all of the ten available Medigap Insurance plans, but any company that sells Medigap insurance must offer Plan A which is the most basic of coverage. They also must sell Plan C, Plan F and Plan N for those who are in a guarantee issue situation.
What are Medigap Insurance Plans and why should I purchase one.
When you choose Original Medicare as your primary insurance and get coverage under Parts A and B you are responsible for paying certain out of pocket costs like deductibles and co-insurance. These are commonly known as the “Gaps” in Original Medicare. Insurance companies with input from certain government agencies have developed insurance programs for consumers to purchase and limit these financial gaps thus giving the Medicare beneficiary a better way to control future healthcare costs.
When should I shop for a Medigap Insurance Plan?
Purchasing a Medigap Insurance policy all depends on your current status as either a new Medicare recipient or if you are already entitled to Medicare due to a disability or certain health condition like kidney failure (ESRD)or ALS commonly known as Lou Gehrig’s Disease. Let’s focus on becoming a new Medicare recipient. This opportunity happens when you are 64 1/2 years old and usually stepping into retirement. This period of time is your Medigap Open Enrollment period. This being the six months prior to the month you turn age 65. You can research which insurance companies offer Medigap in your area and apply for any policy that is offered without medical/health underwriting requirements.
The Medigap policy will normally start on the 1st day of the month you turn age 65. It’s always best practice to have your Medigap insurance policy start the same time as your original Medicare benefits. The reason is you don’t want to be responsible for the “Gaps” in Medicare if you were to have medical treatment and then be responsible for your share.
How do I know which Medigap Plan to choose?
Even though there are ten different Medigap policies to choose from, the reality is that 95% of all plans sold are either Plan F, Plan G or Plan N.
These three plans are quite similar and it’s easy to figure out which one will work best for you. Let’s take a closer look at each one.
