The purpose of Medicare Supplement Plans
Medigap provides upgraded coverage for Original Medicare with all or part of the expenses that Original Medicare doesn’t cover like deductibles, coinsurance, and copayments.
Here are other benefits of Medigap:
Medicare Supplement Plans reduce financial pressure
Analysts agree that considering Original Medicare without supplemental insurance could prove to be costly. While the Part A premium is free for many beneficiaries, it includes a $1,408 deductible per benefit period in 2020. Part B comes with a low $198 deductible in 2020, with the beneficiary essentially paying 20% of the remaining charges.
With the 20% deductible in effect, there is no limit to the price that a patient can pay out-of-pocket. For instance, if a patient suffers cardiac arrest, requires multiple operations and hospice visits, they could become bankrupt overnight.
Supplement Plans reduce hassles
When an individual initially enrolls in Medicare Part B, they are allowed six months to purchase a Medigap plan without the insurance provider digging into their medical history to decide whether to provide coverage. When that window shuts, they would have to undergo medical underwriting involving a series of questions.
