Medicare supplements, also known as Medigap policies, are designed to help cover some or all of the deductibles, copays and coinsurance that Original Medicare does not cover. Medigap policies are sold through private insurance companies.
In Alabama these insurance companies can sell you only a “standardized” policy identified by a letter, such as Plan G. The most common supplemental plans in Alabama are Plans A, B, F, G and N. The term “standardized” means that Medicare requires all plans with a particular letter to have the same basic benefits regardless of the company selling it. For example, a Plan G with one company has to have the exact basic benefits as Plan G with every other company selling it.
Two things to keep in mind when shopping for a Medigap policy. First is the premium. Different insurance companies can charge different premiums for the exact same policy. This means you could pay more for your Medigap policy from one company than you would from other companies offering the same basic benefits. It’s a good idea to check with someone who can show you the premiums from several companies to be sure you’re getting the best premium for you coverage.
The second thing to keep in mind is the type of Medigap policy you are looking at. Some companies offer a Medicare SELECT policy. SELECT policies may require you to use a defined network of providers to receive full coverage, meaning you may not have full coverage from a provider even though the provider accepts Medicare. A standard Medigap policy will allow you to go to any provider that accepts Medicare. If you are not sure about the type of Medigap policy you are looking at, or its premium, you can contact or come by our office for help.
If you have questions regarding any aspect of Medicare or Medicare health plans feel free call us at Alabama Health Guidance (256-648-5710), stop by our office at 885 Florence Blvd (Four Lane Shopping Center) or email me at ikey@alabamahealthguidance.com.