Advantages of Medicare Supplement Plans

As the name suggests, Medicare Supplement Plans are plans that supplement Original Medicare (part A and Part B). These plans are meant to reduce out-of-pocket cost. Since they fill in price gaps left by Medicare Part A and Part B, you cannot enroll in a Medigap policy if you don’t have Original Medicare cover. Also known as Medigap Plans, pay for health-care services and supplies that Medicare Part A and Part B does not cover such as coinsurance, copayments and yearly deductibles. They also cover for emergency health-care services provided outside the U.S.

Medicare supplement plans

There are 10 standardized plans represented by letters A, B, C, D, F, G, K, L, M and N. Benefits in each of these plans are same regardless of the provider (insurance company) or location, though coverage levels and premiums may vary. Massachusetts, Minnesota, and Wisconsin each have their own different set of standardized Medicare Supplement plans. Find more information at

Main advantages of buying Medicare Supplement Plans

  • Helps to pay the 20% of Part B medical expenses that Medicare doesn’t cover.
  • Helps to protect you against unexpected out-of-pocket costs.
  • You can choose any doctor or health care that accepts Medicare.
  • Freedom to travel. Medigap plan C, D, F, M and N offers coverage for health-care services provide outside the U.S.
  • Your coverage is Guaranteed Renewable for Life – as long as you pay your premiums, the provider (insurance company) cannot cancel your policy regardless of your health status or age.

Additional facts that you must know about Medigap Plans.

  •  Medical Advantage Plan, Medical Prescription Drug Plan(part D), Medicaid, Veterans benefits, TRICARE, Employer or unions Plans, Indian Health services, Tribal and Urban Indian Health Plans are not Medigap plans.
  • Medigap policies generally do not cover Long-term care (care in a nursing home), eyeglasses, hearing aids, Private duty nursing, prescription drugs and dental care.
  • Medigap Plans don’t include prescription drug coverage. If you want prescription drug coverage,you can enroll with Medical Prescription Drug Plan.
  • If you have Medicare Advantage Plan,you can still buy Medigap plan but ensure you can leave Medicare Advantage Plan before your Medicare Supplement Plan begins.
  • Medicare Supplement plans covers one person only, so if you are married, you and your spouse should get separate Medigap policies.
  • It is against the law for any insurance company to sell Medigap Plan to you if you have a Medical Savings account (MSA) plan.