What Is a Medigap Policy and What Does it Cover?

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Medigap policies (also called Medicare Supplement Insurance) are health insurance plans designed to fill in the “gaps” of Original Medicare, such as copayment and deductible charges.  It is important to note that Medigap is not a Medicare Advantage Plan.  Medicare Advantage Plans, such as those offered through Anthem Blue Cross, take the place of Original Medicare and provides equivalent coverage to that of an HMO or PPO plan.  Conversely, a Medigap plan supplements Original Medicare.

Medigap covers Medicare Part A coinsurance and hospital costs up to additional 365 days after Medicare benefits are exhausted.  Additionally Medigap covers a percentage of the Medicare Part B coinsurance or copayment up to 100%, depending on the plan chosen.  Some, but not all, Medigap plans cover part or all of the Medicare Part A and Medicare Part B deductibles.

Generally speaking, Medigap policies do not cover long-term care, vision, dental, private-duty nursing, hearing aids or eyeglasses.  Additionally, Medigap policies do not cover prescription drug coverage—this is covered under Medicare Part D.

Seniors 65 and older generally have two choices when it comes to healthcare:

Option 1:   Original Medicare (Part A, Hospital, and Part B, Medical), plus Part D (prescription drug), plus a Medigap (supplement) policy to fill in the gaps.

Option 2:   Medicare Advantage Plan (combines Part A, Part B, and usually Part D), plus Part D (if not covered under the Medicare Advantage Plan.)

Deciding on an option can be challenging, and people frequently have many questions.  A licensed and knowledgeable insurance agent at Benefit Packages can help you navigate your options and find the most comprehensive plan available.  As authorized Anthem Blue Shield/Blue Cross brokers, we can help you obtain an Anthem Medicare Advantage or Anthem Medicare Supplement plan, or other plans as well.  Call us today at 1-800-356-3615, or visit our website at https://benefitpackages.com/.