Medicare Supplement Plans – Is It For You?

Medicare Supplement Plans

Medicare Supplement plans are a good choice for many seniors who have Medicare. Medicare Supplement insurance cover many things including copays and deductibles. A Medigap policy just starts paying for your medical costs after Medicare has paid up for certain medical treatments.

There are several considerations to think about when picking out a Medicare supplement plan for a senior with Medicare. Most people don’t even consider the impact a poor choice will have on their Medicare premiums. With medicare supplement plans, it is important to get the maximum benefits available to the lowest premium. Here are several Medicare Supplement options that can help your loved one maintain the quality of life they had before they entered the system.

If you’re eligible for Medicare Parts A and B, you may already be covered by an HMO or PPO. If you’re not, then you will need to pick a Medicare Supplement Plan to either pay for all of your in-network medical expenses, or to reduce your out-of-pocket costs. Medicare Part A coverage offers a broad range of benefits, so be sure to discuss which medications your coverage covers. Medicare Part B, which is also known as Medigap, is a more specific type of coverage, and comes with stricter guidelines regarding out-of-pocket costs.

A common question from Medicare Supplement Plan holders is whether they need to worry about coinsurance when taking foreign travel. The answer is an unequivocal “yes.” All medigap policies contain coinsurance provisions that will kick in when traveling outside the country of your Medicare coverage. The reason why you will find this is because a Medicare Supplement Plan provider cannot afford to provide you with an adequate amount of coverage in a foreign country, due to the expense of medication, which is not cheap. So, for the most part, yes, you will need to have some coinsurance when taking on foreign travel.

One other thing you should be aware of is that Medicare Supplement Plan plans frequently include some “out of pocket costs,” in addition to the coverage provided by the main Medicare program. Even though these additional costs are considered common practice within the supplemental plans, they can be surprising and occasionally expensive. Some common “out of pocket cost” items include: copays, coinsurance, and even some prescriptions. Again, remember that these are considered common practice within private insurance companies, and are not considered Medicare Advantage Plan benefits.

Because these Medicare Supplement Plan options are not offered by every health insurance company, it’s important to shop around. In general, the cheapest way to enroll in Medicare Supplement Plan would be to use the web. There are plenty of websites that offer free enrollment in Medicare Supplement Plans. When comparing prices from different companies, make sure to look at all the small print.

Another way to save money when enrolling in Medicare Supplement Plan is to choose one that accepts medicare supplement plans from private insurance companies. Some companies will accept all of the major insurers including Aetna, Blue Cross, Cigna, Humana, Medicare Part D and Medicare Advantage Plans. Unfortunately, there are many other companies that only accept certain major insurance providers. To find out if a supplement plan will work in your situation, you will have to call the specific company to find out.

Medicare Supplement Plans come with different premiums, deductibles, and out of pocket expenses. The more you spend for your medications, the higher your monthly premium will be. In order to avoid spending too much money each month, you must first decide what your monthly premium will be. If you can pay a lower monthly premium that will save you hundreds of dollars per month. You should consult with a financial advisor to find out which medicare supplement plans will give you the best return on your monthly premium.