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 the medical costs of some services, leaving you responsible for the other 20%. This means that if your laboratory tests and equipment cost $50,000, you are left to pay $10,000 in pocket costs. Medicare Supplement Plans are offered by private insurance companies. These plans’ basic benefits are supposed to provide you with additional coverage and bridge the coverage gaps. They cover your out-of-pocket Medicare expenses and assist with paying monthly premiums, providing you with deductible coverage and financial security. These types of plans increase your short-term costs but are definitely worth it in the long run. Keep reading on to learn why.
Medicare Supplement Plans Overview
Private companies can offer multiple types of supplemental insurance plans:
- Plan A
- Plan B
- Plan C
- Plan D
- Plan F
- Plan F (High-deductible Plan F)
- Plan G
- Plan G (High-deductible Plan G)
- Plan K
- Plan L
- Plan M
- Plan N
Each of these types of plans has different supplemental coverage to offer, they are like backup coverage. It is important to know that Medigap Plan C or F is no longer available for those who have not enrolled in them before January 1, 2020.
Specifics of Each Supplemental Policy
All of the Supplement health insurance plan types cover different out-of-pocket expenses. You can compare each plan below to see what level of coverage they have for medical services provided.
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 Annual 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 Annual 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 healthcare 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 and help with plan selection, contact Temmen Insurance today.