Virtually all new Medicare beneficiaries have many questions when they turn 65 and become eligible for Medicare. While the program is quite complex, expert assistance makes it easy to navigate. Here at the Medicare Health Experts, we have a deep understanding of the nuances of this program. When you turn to us, you can rest assured that you’ll be able to find the best type of care.
Medicare Parts A and B cover most forms of essential care, but there are still substantial deductibles and copays. You have a wide range of plans to choose from that can reduce or eliminate these out of pocket expenses, but they all fall under one of two groups. There are traditional Medigap plans, and then there are Medicare Part C Advantage plans.
Medigap Supplementary Insurance
Medigap plans are the traditional way that beneficiaries augment their Medicare coverage. There are ten plans to choose from. One is Plan B, which covers a few important expenses, and then there’s Plan F, which eliminates all out of pocket charges. A few plans offer lower rates for a cost-sharing arrangement that only covers 50% or 75% of expenses. Essentially, using Medigap is paying Medicare to extend your coverage. Your regular Medicare coverage covers its share of expenses, then your supplement insurance covers its share, and anything that’s left falls to you.
Medicare Part C Advantage Plans
In the 90s, Medicare was too expensive for many people due to the cost of Medigap coverage. Without additional coverage, people struggled with copays and deductibles they couldn’t afford. The government created Medicare Part C so that beneficiaries could take their Medicare benefits to private insurers. Whereas Medigap comes into effect after your basic Medicare coverage, an Advantage plan replaces traditional coverage altogether.
While Medicare must approve every Part C plan, no two are exactly the same. Additionally, Medigap and Part C each only cover types of care included in the scope of Medicare. Neither will include dental, routine check-ups, or other services beyond Medicare’s scope. The key differences from one plan to another are cost, coverage, and network issues.