Medicare Supplements

Alabama Medicare Supplements

Medicare Supplements sometimes referred to as Medigap pay health care costs that Medicare does not cover (deductibles, coinsurance and co-payments).

Why Do You Need a Medicare Supplement

Medicare Part A has a deductible, coinsurance, and copayments that you are responsible for paying. Medicare Part A covers 60 days of Inpatient Hospital care, but you pay a  deductible of $1,408. If you are in the Hospital more than 60 days you will have to pay an expensive copay for days 61-90 ($352 per day). For days 91-150 the copay is $704 per day. If you are in the Hospital more than 150 days, your Hospital coverage under Medicare Part A runs out.  Medicare Supplements will pay the Hospital deductible of $1408, the daily copays if you are in the Hospital more than 60 days and full coverage beyond 150 days.

Medicare Part B has a deductible of $198 that you are responsible for paying. Part B only covers 80% of Medicare-approved amounts. Without a Medicare Supplement, you are responsible for the other 20%. This means you will pay 20% for all of your Doctor visits, ER visits, blood tests, lab work, X-rays, and other diagnostic tests such as an MRI or CT scan. You will have to pay 20% for expensive treatments like chemotherapy, kidney dialysis, and durable medical equipment. Medicare does not put a cap on your out-of-pocket costs like your previous insurance plans. That is why it is essential to enroll in a Medicare Supplement to keep your cost low and predictable. Medical bills for severe and chronic illnesses can ruin you financially if you don’t have a Medicare Supplement. The money you have set aside for your retirement could quickly be wiped out.

With a Medicare Supplement, you have the freedom to go to any Doctor or Hospital in the United States that accepts Medicare patients. You can see specialists without a referral, and your coverage goes with you when you travel anywhere in the United States. Medicare Supplements do not cover outpatient prescription drugs, so you’ll need to enroll in a Medicare Part D Prescription Drug Plan. To apply for a Medicare Supplement, you must register for Medicare Part A and Part B.

Medicare Supplements: Plans F, G & N

Medicare Supplement Plan F  You have No out-of-pocket cost for Medicare-approved services, whether it’s an Inpatient Hospital stay, Outpatient medical services and treatments, and Doctor office visits. Plan F pays all deductibles, coinsurance, and copayments that Medicare does not cover. Medicare Supplement Plan F will not be available to anyone enrolling in Medicare for the first time starting January 1, 2020.

Medicare Supplement Plan G  The coverage it provides is almost identical as Plan F, except it does not pay the annual Medicare Part B deductible of $198. That small deductible is the only difference between Plan F, and Plan G. With this Supplement your only out of pocket cost is the Medicare Part B deductible of $198. Plan G  is the most popular Medicare Supplement people are enrolling in today.

Medicare Supplement Plan N  You will have No out-of-pocket cost for an Inpatient Hospital stay, but like Plan G, you are responsible for the Medicare Part B deductible of $198. Plan N has a lower monthly premium than Plan F and Plan G because it has a copay that can never exceed $20 for a Doctor’s office exam (primary care or specialist). It also has a $50 copay for an Emergency Room visit (No copay if you are admitted into the Hospital from the ER). All Medicare Supplement plans take rate increases every year. Medicare Supplement Plan N has an excellent history of moderate rate increases over the past ten years. It has had smaller rate increases than Plan F or Plan G. If you are comfortable with a small copay for a Doctor’s office exam, you may want to consider Plan N for your Medicare Supplement.

Will My Doctor Accept My Medicare Supplement?

The answer to this question is whether your Doctor accepts Medicare. If a Doctor or Hospital accepts Medicare (your primary coverage), they will also take your Medicare Supplement, regardless of which company provides the coverage. If your Doctor does not accept Medicare, which is rare, then they will not accept your Medicare Supplement plan either. Ninety-five percent of Doctors in the U.S. accept Medicare patients. What Doctors are interested in is if you have a Medicare Supplement that covers the 20% coinsurance that is left after Medicare pays.

Medicare Supplements do not have provider networks. This is not the case with Advantage Plans because they have either an HMO or PPO network of doctors and hospitals. If you go to a Doctor or Hospital that is not in their network, you may be responsible for 100% of the costs. The key thing to remember is if Medicare is your primary coverage (Medicare Part A and Part B), your Doctor or Hospital will always accept your Medicare Supplement regardless of which company sold you the policy.

Don’t Miss This Opportunity

The best time to enroll in a Medicare Supplement is during your Open Enrollment Period. When you first enroll in Medicare Part B at age 65 or older, you have six months to enroll in a Medicare Supplement without answering health questions. Your acceptance is guaranteed, and pre-existing health conditions receive full coverage immediately. When your Open Enrollment Period ends, you can apply for a Medicare Supplement later at any time, but you will have to answer all the health questions on the application. Your application may be declined if you have pre-existing health conditions the insurance company does not want to cover. You only have one opportunity to get a Medicare Supplement without answering health questions. This one-time offer is for six months from the time you activate your Part B of Medicare. Don’t miss this one opportunity to enroll in any Medicare Supplement Plan of your choice without having to answer health questions. Health conditions won’t matter then or in the future. Call me with any questions you have about Medicare and get expert advice and free quotes at no cost or obligation.