A Brief Introduction to MedicareSupplement Insurance Plans

Most seniors find that the Medicare they become eligible for as part of their social security benefits just isn’t sufficient to deal with their medical needs. A wise option for many is to obtain supplemental Medicare insurance from a reputable provider.

These Medicare plans are identified by alpha lettering starting at A and going thru L. Each one has a different combination of coverages. The supplemental plans, also known as Medigap insurance, are all standardized plans, meaning they all offer the same benefits.  The only difference is some carriers may not have some of the plans and premiums may vary between carriers. It is also good to note with the recent economic times, insurance ratings are becoming an increasingly important valuation of their financial health.  It is for these reasons we typically recommend you select the best ”A”rated company for the lowest price.

Some also have extras that they give the client like discount prescription card. This is not to be confused with a regular Part D prescription plan as it only gives a discount on certain items that might be purchased at a pharmacy.  The AARP plans also have an extra benefit, known as the Silver Sneakers, that gives a fitness membership to a local participating fitness facility.

Some plans may not be available in your state per Medicare.  Looking at your medical and financial situation is one way to look at these plans.  Medicare supplement plans are a supplemental to your Medicare coverage, meaning Medicare is your primary insurnace.  For example, one example we can look at is a hospital stay.  Medicare pays for your hospital stay after a deductible is met ($1,068 deductible in 2009 and no coinsurance for days 1–60 each benefit period).  In Part A (the hospitalization coverage thru Medicare) the deductible is covered by the supplement.  Part B is the medical expenses coverage and Medicare pays generally 80% of the Medicare approved amounts after an intial deductible of $135 for 2009.  The supplement plans that have Part B coverage will pay the $135 deductible and some plans also pay on the excess of Part B that is not covered by Medicare.

Because of the combination of coverage’s and their variation with each plan, the best way to shop these is to consult with a qualified agent that works with multiple Medicare supplements and other options such as Medicare Advantage Plans and Medicare Part Prescription Drug Plans.

For more information, you might want to check out the Medicare supplemental insurance information page or take a look at our Tips and Information for Shopping for a Medicare Health Insurance Plan.

And if you’re ready for product advice, please don’t hesitate to contact us. Or check out our product selection options for Medicare insurance supplement plans.