Considering Medigap Insurance: What You Need to Know

Considering Medigap Insurance: What You Need to Know

Jan 23 2018

Medicare coverage comes in many forms.

Often, individuals like to enhance the basic Medicare coverage offered through the federal government with additional coverage through an insurance company. But which is the best choice – Medicare Advantage or Medigap?

Medigap insurance is supplemental coverage to a Medicare plan. If you buy a Medigap plan, your Original Medicare plan pays its allotted amount and then your Medigap plan pays its share too, giving you much lower out-of-pocket costs.

Medigap has some distinct advantages. Here are 3 situations where Medigap insurance might benefit you:

  1. When 80 percent coverage is not enough– Part A and Part B typically cover 80 percent of medical expenses but the insured is responsible for the remaining 20 percent, in addition to the Part A deductible, which is $1,340 in 2018. Purchasing a Medigap plan can help cover the remaining expenses – including your Part A deductible, up to 100 percent, depending on the selected plan.
  2. Travel is a part of your retirement plan– Medigap plans offer the flexibility to see any doctor that takes Medicare insurance, anywhere in the United States. In addition, some of the Medigap plans cover emergency care services for foreign travel as well.
  3. You require reliable and stable finances– Medigap plans are easy to use, with little paperwork. It greatly reduces the amount of out-of-pocket expenses you are responsible for in return for a higher premium, which generally works out to a lower overall cost. This helps with budgeting, especially if you are living off retirement savings.

This video offers some additional tips when approaching Medicare and deciding which, if any, Medicare add-on coverage to purchase.

Neither Priority Health Medicare plans nor agents authorized to sell Priority Health Medigap plans are connected with or endorsed by the United States government or the federal Medicare program.

This information is insurance related. Please contact us if you have any questions.  If you do so, please be aware that there may be an attempt to sell you insurance. This is a solicitation of Medicare supplement coverage.