Sold by private companies, Medicare Supplement (Medigap) insurance can help pay for part of the health-care costs that Original Medicare doesn’t cover. These costs include copayments, coinsurance and deductibles.
If you have Original Medicare and purchase a Medigap policy, Medicare will cover its portion of the Medicare-approved amount for covered health-care costs. Your Medigap policy will pay its share, too.
A Medigap policy differs from a Medicare Advantage Plan. These latter plans are ways to get Medicare benefits whereas Medigap policies supplement your Original Medicare benefits.
Key Things to Know About Medicare Supplement Policies
- You must be enrolled in Medicare Parts A and B.
- If you have a Medicare Advantage Plan, you may apply for a Medicare Supplement insurance policy. But ensure you can leave the Medicare Advantage Plan before your Medicare Supplement insurance policy starts.
- You pay the private insurance company a monthly premium for your Medicare Supplement insurance policy along with the monthly Part B premium that you pay to Medicare.
- You can purchase a Medicare Supplement insurance policy from any insurance company that’s licensed to sell one in your state.
- Any standardized Medicare Supplement insurance policy is guaranteed renewable even if you face health challenges. This means the insurance company can’t cancel your Medicare Supplement insurance policy as long as you continue to pay the premium.
- Medicare Supplement insurance policies sold after January 1, 2006, are not allowed to include coverage for prescription drugs. If you desire prescription drug coverage, you can join a Medicare Prescription Drug Plan, known as Medicare Part D.
- It is illegal for a company to sell you a Medigap policy if you have a Medicare Medical Savings Account (MSA) Plan.
When a company’s employees turn 65 and become eligible for Medicare Parts A and B coverage, these employees should no longer be covered by the company’s health insurance plans. BeneFinder is skilled at placing these particular employees on Medicare plans.
Taking this step and according to specified timelines is necessary for companies because they otherwise could incur longtime and nonwaivable financial penalties. BeneFinder’s agents are knowledgeable and always updated about Medicare and its enrollment periods. We can help companies and their employees make simple all the complex Medicare enrollment processes and ensure employees receive appropriate coverage.
To learn more, call BeneFinder at 877–643–1260 to discuss your Medicare options.
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