A Guide to Supplemental Insurance Coverage
Health insurance will only go so far in protecting a homeowner and certainly won’t cover all your expenses- In many cases such extra expenses can really start to add up and, over a period of time, mean some really big bucks. In these cases, supplemental insurance coverage is a possible financial cure to what ails you. Medical expenses that this coverage helps in paying include deductible payments, co-payments, and co-insurance. It can also provide help in compensating for the care provided while being outside of the United States. This type of coverage is also known as a “Medicare Supplement Plan” or “Medigap.”
In a “Medigap” policy, all who have Medicare Part A and Part B can qualify for this coverage from any licensed insurance company in whatever state they may reside. Keep in mind that this coverage is intended for a single individual only. (It is necessary that one’s spouse understands that he or she will need to purchase a separate insurance plan for him or herself.) Note, too, that an insurance provider will not cover you if you are already part of the Medicare Advantage plan (Part D).
Anyone who meets or exceeds the above mentioned eligibility parameters are advised to apply for Medigap coverage. Open enrollment periods are the best times to do so and they are generally the first six months after reaching 65 years of age (or after having obtained a Medicare Part B plan). At the time of this article’s writing, insurance companies will not charge excessive premium rates due to pre-existing conditions and coverage is guaranteed. Keep in mind, though, that insurance companies are allowed to deny coverage or charge higher premiums for those applying outside of the open enrollment period.
The federal government oversees supplemental insurance plans that are identified by the letters A through N. Some providers allocate household discounts to policyholders, so it is worthwhile to talk with your agent about available Medigap discounts.
Obtaining supplemental coverage can truly save serious money otherwise spent on out-of-pocket costs. Individuals applying during open enrollment will have peace of mind in knowing that coverage is attainable without issues due to underlying “pre-existing” health conditions.