Medicare vs. Medigap: Are you making the right choice?

Understanding Medicare and Medigap Plans

Choosing a health insurance plan for yourself or your family can be an overwhelming and confusing process. There are many different plans to choose from, with varying benefits and coverage levels. With Medicare Enrollment period approaching, one of the most common questions people ask is: Medicare vs Medigap?

With basic Medicare plans, original program provides hospital coverage but not other medical care; it has now been expanded to include some preventative services such as screenings or vaccines. Most people purchase “supplemental insurance” in addition to Original Medicare (Part A + Part B) from private insurers like Blue Cross.

People who have worked enough years can qualify for Extra Help with their monthly premiums and deductibles on these plans if eligible based on income levels. This additional assistance is available even if you already get prescription drug coverage through either Medicaid or another plan that covers your prescriptions.

Medicare Enrollment

The Medigap plans, which are designed to cover some of the costs that Original Medicare does not pay for.

Medigap policies can be bought from private insurers and typically offer coverage in four areas: medical expenses (coverage A), hospitalization (B), doctor visits (C) and prescription drug coverage or other medical services such as lab work/x-rays if you do not have a separate plan that covers these things already. These premiums vary based on your age, health status and state where you live.

Many people choose to purchase a combination of supplemental insurance through an employer group along with one or more Medigap policies for extra financial protection against out-of pocket expenses after they have met their deductible limit under the employer plan.

In summary, Medicare provides coverage for hospital services and some preventative care while supplemental Medigap insurance covers other medical expenses that Original Medicare does not cover. Choosing the right type of health insurance will depend on your personal circumstances and should be discussed with a qualified professional before purchasing any plans.