by Guest » Thu Aug 22, 2013 06:24 am
My dad is soon going to turn 65 and he wants to have something apart from his regular Medicare and few of our relatives told us that Medigap is what we need.
I did a check in medicare.gov but the Medigap policies (ranging from A-N) they are rendering are vague and confusing.
Could anybody explain to me in plain English what Medigap is and what to look for when signing up for a plan?
I did a check in medicare.gov but the Medigap policies (ranging from A-N) they are rendering are vague and confusing.
Could anybody explain to me in plain English what Medigap is and what to look for when signing up for a plan?
Posted: Fri Aug 23, 2013 12:53 am Post Subject: What is medigap insurance?
"Medigap" is a colloquial term for Medicare Supplement Insurance. For those persons who choose to stay with "Original" Medicare Parts A & B, it is a necessary evil because Medicare leaves many things it considers not medically necessary uncovered. The various "Plans" (A, B, C, D, F, K, L, M, N) represent varying levels of additional coverage. All plans include the Basic Benefits found in Plan A (Part A daily hospitalization copayments, up to 365 days additional hospital coverage, Part B coinsurance, first 3 units of blood under either Part A or B, and Part A hospice care copayments).
None of the Medicare Supplement plans cover everything. Plan F is the most popular, because it has the most added benefits. It is also the most expensive, at several thousand dollars per year in premium cost. And one must also purchase a standalone prescription drug plan, at an additional cost of about $384 per year.
Depending on where your father resides, Medicare Advantage with Prescription Drug Plan coverage, as either an HMO or PPO, usually represents a much better value. In many major metropolitan areas, it is offered at no monthly premium (other than the Part B premium that must be paid), If MA-PD plans are not offered at no cost, the monthly premiums range from about $40 to $100. Far less than a Plan F Medicare Supplement, and includes the prescription drug plan.
Work with a local independent agent who markets senior insurance products to pick the best alternative for your father -- Medicare Supplement of Medicare Advantage. My clients overwhelmingly choose MA-PD plans after I show them the differences. Here in Southern California, we have mostly "no additional premium" plans available from a variety of providers.
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