Medicare Supplements are also known as Medigap plans. After original Medicare pays its approved amounts, the Medigap (Medicare Supplement) plan pays for any remaining amounts.
This includes any Part A or Part B deductibles and cost-sharing amounts. There are several different plans to choose from with varying benefits and monthly premium amounts. The most popular plans are Medigap plan F and plan G. Plan F pays for all deductibles and cost-sharing amounts after original Medicare has paid it's approved amounts. This plan makes planning out your annual healthcare costs more predictable since all the beneficiary needs to do is pay their monthly premiums. Plan G is identical to Plan F except the beneficiary is required to meet the annual Part B deductible ($183) before the policy will respond. What is great about these plans is that a policy holder can have the security in knowing that if health complications or unexpected events arise, they won't face any out-of-pocket expenses outside their monthly premiums and the Part B deductible ($183).
Are you a healthy senior and feel that you are paying too much for your Medicare supplement plan? Have you received a recent rate increase that you feel is unreasonably high? Did you know that all Medicare supplement plans are standardized by federal law? In this respect, all companies have to provide the same exact benefits for each plan. For example, plan F with Mutual of Omaha is going to provide the exact same benefits as Medico's plan F as long as the doctor, hospital, or service accepts Medicare and the service is Medicare approved. This is the secret that the insurance companies don't want Medicare recipients to be aware of. Some companies will offer extra benefits with their plans such as a Silver Sneakers benefit or vision and prescription discounts, but when you have a Medicare approved claim, the amounts paid by all insurance companies will be the same and one company won't deny what another company will accept.
Another set of provisions that protects consumers are guaranteed issue rights. If a company were to become insolvent then the beneficiary has the right to select a plan with another carrier of their choice without any underwriting. This means that once you are accepted and receiving benefits from a plan, you have those benefits for as long as you pay your premiums even if the company goes bankrupt or dissolves. If this were to occur, then you have the right to switch to another company so you won't risk the loss of coverage and benefits. There are a number of situations that allow for a guaranteed issue status such as losing your employer group coverage or moving out of the service area from a medicare supplement or medicare advantage plan. Senior HealthPlan Services can help you to determine if you are eligible for a guaranteed issue situation and which company has the best rates in your area.
Guaranteed renewable means that you can NEVER be dropped from a plan regardless of your health condition. Once you are in a Medicare supplement plan you can always stay with the plan as long as premiums are paid. The policy will renew every year on a guaranteed basis as long as you make your premium payments.