Are Medicare Supplement Plans worth it?

Medicare normally covers many different health services, but it does not always cover them in full. For example, Part B of Medicare covers only 80% of some services, leaving you to pick up the other 20%. This means that if your laboratory tests and equipment cost $50,000, you are left to pay $10,000. Medicare Supplement Plans are plans offered by private insurance companies. These plans are supposed to bridge the gap and cover your out-of-pocket Medicare expenses. These plans increase your short-term costs but are definitely worth it in the long-run. Read on to learn why.

Medicare Supplement Plans Overview

Private companies can offer multiple types of supplement plans:

  • Plan A
  • Plan B
  • Plan C
  • Plan D
  • Plan F
  • Plan F with High Deductible
  • Plan G
  • Plan G with High Deductible
  • Plan K
  • Plan L
  • Plan M
  • Plan N

Each of these types of plans has something different to offer.

Specifics of Each Plan

All of the Supplement Plan types cover different out-of-pocket expenses. You can compare each plan below to see what is most important to you. 

Medicare Part A Coinsurance and Hospital Costs

  • Plan A – 100%
  • Plan B – 100%
  • Plan C – 100%
  • Plan D – 100%
  • Plan F – 100%
  • Plan G – 100%
  • Plan K – 100%
  • Plan L – 100%
  • Plan M – 100%
  • Plan N – 100%

Medicare Part B Coinsurance or Copayment 

  • Plan A – 100%
  • Plan B – 100%
  • Plan C – 100%
  • Plan D – 100%
  • Plan F – 100%
  • Plan G – 100%
  • Plan K – 50%
  • Plan L – 75%
  • Plan M – 100%
  • Plan N – 100%

First 3 Units of Blood

  • Plan A – 100%
  • Plan B – 100%
  • Plan C – 100%
  • Plan D – 100%
  • Plan F – 100%
  • Plan G – 100%
  • Plan K – 50%
  • Plan L – 75%
  • Plan M – 100%
  • Plan N – 100%

Skilled Nursing Facility Care Coinsurance

  • Plan A – 0%
  • Plan B – 0%
  • Plan C – 100%
  • Plan D – 100%
  • Plan F – 100%
  • Plan G – 100%
  • Plan K – 50%
  • Plan L – 75%
  • Plan M – 100%
  • Plan N – 100%

Part A Deductible

  • Plan A – 0%
  • Plan B – 100%
  • Plan C – 100%
  • Plan D – 100%
  • Plan F – 100%
  • Plan G – 100%
  • Plan K – 50%
  • Plan L – 75%
  • Plan M – 50%
  • Plan N – 100%

Part B Deductible

  • Plan A – 0%
  • Plan B – 0%
  • Plan C – 100%
  • Plan D – 0%
  • Plan F – 100%
  • Plan G – 0%
  • Plan K – 0%
  • Plan L – 0%
  • Plan M – 0%
  • Plan N – 0%

Part B Excess Charges

  • Plan A – 0%
  • Plan B – 0%
  • Plan C – 0%
  • Plan D – 0%
  • Plan F – 100%
  • Plan G – 100%
  • Plan K – 0%
  • Plan L – 0%
  • Plan M – 0%
  • Plan N – 0%

Foreign Travel Emergency

  • Plan A – 0%
  • Plan B – 0%
  • Plan C – 80%
  • Plan D – 80%
  • Plan F – 80%
  • Plan G – 80%
  • Plan K – 0%
  • Plan L – 0%
  • Plan M – 80%
  • Plan N – 80%

Out of Pocket Limit (2020)

  • Plan A – No limit
  • Plan B – No limit
  • Plan C – No limit
  • Plan D – No limit
  • Plan F – No limit
  • Plan G – No limit
  • Plan K – $5880
  • Plan L – $2940
  • Plan M – No limit
  • Plan N – No limit

Worth It?

As you can see, these plans cover most of the parts of Medicare that generate the most out-of-pocket expenses. For example, if you incur major hospital costs, some of the above supplement plans can cover your costs, saving you hundreds of thousands of dollars in debt. 

Medicare Supplement Plans are one of the most confusing aspects of Medicare. For all of your supplement plan questions, contact Temmen Insurance today.

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