Why Medigap Plan Should You Purchase?
Originally, there were 12 distinct plans labeled A trough L under the standardized Medigap Plans. The government does not provide Medigap Plans but you can buy them from privately owned companies. It is offered through private businesses and provides different combinations of benefits.
Two new plans have been introduced, namely , Plans M and N. Insurers no longer offer Plans E, H and J, thus replaced by Plans M and N. If you currently have these policies, then it will be renewed automatically without any changes in your coverage.
The new Plans M and N coverage provides some extra cost-sharing in exchange for reduce premiums. You should consider these plans and find out if it is suitable for you and your loved ones.
The new plans M and N are quite similar to the most popular Medicap plan F. However, Plan M only covers half of the deductible required for Medicare Plan A. Plans M and N do not cover the Part B deductibles.
Part B’s excessive charges are not covered by Plan M. The excessive charges help cover extra costs that your physician charges over what Medicare will accept.
Plan N, on the other hand, completely covers the Part A deductible. You can have co-payments for doctor’s office appointments. Also, a hospital emergency room visit has a co-payment. In this case, private insurers sell Plan N over Plan M. The cost of plan N is much lower than Plan F.
By comparing the premium savings to the possible out-of-pocket co-payments and deductibles of different plan, then you can choose a different plan if you want to. Even if Plan N is less expensive than plan F, you will be required to pay Part B’s co-payment.
Another important thing to determine is the total amount of your co-payments, and the maximum number of time you may visit the emergency room and your physician’s office. You should find out if you will be spending less if you go with plan N. Plan M and N do not cover Part B’s excessive charges which only Plan F covers. If you physicians tend more than what Medicare will pay for, then this is important to know.
You can qualify for any of the plans if this is the first time you will be signing up for Part B, whatever the state of your health is. However, if you don’t sign up with the open-enrollment period, your health condition can be a factor for your rejection to any plan. Some insurers will still sell plans M and N regardless of your health, especially if you previously had E, H, I or J Medigap Plans.
Choose the Medigap plan that can satisfy all of your needs.