About 36 percent of original Medicare enrollees buy a Medigap plan to help pay for out-of-pocket medical costs. Medicare Part A and Part B cover a significant portion of these expenses, but there are many other costs that you will be responsible for paying out-of-pocket. Medigap Plans, which are standardized by federal law and available from private insurance companies, can be helpful in covering these costs. There are 10 standardized Medigap policies, which are identified by letters Plans A through N. These plans are designed to offer different levels of coverage at varying premium rates depending on the plan type and insurer.

You can choose which Medigap policy to purchase based on your specific needs and financial ability. In general, high-coverage Plans A through G have higher premiums, while low-cost Plans K through N have lower premiums. However, these premiums may change over time due to inflation or changes in the health care system.

In addition to the cost of the plan, you should also consider whether you want a policy that covers your out-of-pocket costs when traveling abroad or if you have an ongoing health condition that requires frequent visits to the doctor or hospital. Some insurers also provide additional features, such as dental and vision benefits.

The best time to buy a Medicare Supplement policy is during the open enrollment period that starts the month you first get Medicare Part B and ends three months later. During this time, you can switch between any Medigap policy and you cannot be denied coverage for preexisting conditions. You can also switch to a Medigap plan during your Initial Enrollment Period, which is the three months that follow the month you turn 65 and enroll in Medicare Part B.

You can also use your guaranteed-issue right if you lose your Medicare Advantage plan, move out of your area or your Medicare managed care plan’s service area, or if the company that provides your Medicare managed care plan goes bankrupt. Then, you have the right to buy any of the twelve Medigap Plans without going through medical underwriting. You can even switch from a Medicare Advantage plan back to Original Medicare with a Medigap policy during this time. Connecticut beneficiaries over the age of 65 have the right to purchase any of Medigap Plans A – L.

What are Medigap Plans?

Medigap plans are private insurance policies that work alongside Original Medicare to help cover the “gaps” in coverage. These gaps include costs such as deductibles, co-payments, and co-insurance, which can add up quickly even with Medicare coverage. Medigap plans are offered by private insurance companies, and each plan is standardized by the government, meaning the benefits are the same no matter which insurer provides the plan. However, the cost of Medigap policies can vary depending on the insurance company, location, and the plan you choose.

There are 10 standardized Medigap plans in most states, labeled Plan A through Plan N. These plans vary in terms of the specific benefits they provide, but all of them are designed to help reduce the out-of-pocket costs associated with Medicare services. While the specific coverage of each plan can differ, most Medigap plans offer coverage for services such as hospital costs, medical expenses outside of the country, and the costs associated with skilled nursing facility care.

How Do Medigap Plans Work?

Medigap plans are meant to supplement the coverage provided by Original Medicare. When you receive a service covered by Medicare, Medicare pays its share first, and then your Medigap plan pays its share, depending on the specific plan you have. This helps minimize your out-of-pocket expenses, particularly for services that involve a high deductible or significant co-insurance. However, Medigap plans do not work with Medicare Advantage Plans (Part C); they are only available to individuals who have Original Medicare.