What is Medicare Supplement Insurance?

Medicare Supplement Insurance helps supplement Original Medicare.  It helps pay some of the health care costs that Original Medicare doesn’t cover (like copayments, coinsurance, and deductibles).  If you have Original Medicare and a Medicare Supplement Policy, Medicare will pay its share of the Medicare approved amounts for covered health care costs.  Then the Medicare Supplement policy pays its share.

How does Medicare Supplement help?

Medicare Supplement insurance is designed to help cover your out of pocket costs with Medicare Part A and B.  Depending on the plan you select, Medicare Supplement Insurance can cover 100% of your out of pocket expenses.  Each Medicare Supplement Plan is different and can cover far more than the example provided below.

For Example:

Example of Medicare Supp benefit

What do I need to know if I want to buy Medicare Supplement Insurance?

  • You must have Medicare Part A and Part B to buy a Medicare Supplement policy.

  • If you have a Medicare Advantage Plan (like an HMO or PPO) but are planning to return to Original Medicare, you can apply for a Medicare Supplement policy before your coverage ends. The Medicare Supplement insurer can sell it to you as long as you’re leaving the Plan. Ask that the new Medicare Supplement policy start no later than when your Medicare Advantage Plan enrollment ends, so you’ll have continuous coverage.

  • Plans E, H, I, and J are no longer for sale, but you can generally keep these plans if you already have one.

  • You pay the private insurance company a monthly premium for your Medicare Supplement policy in addition to the monthly Part B premium you pay to Medicare.

  • A Medicare Supplement policy only covers one person. If you and your spouse both want Medicare Supplement coverage, you each will have to buy separate Medicare Supplement policies.

  • When you have your Medicare Supplement Open Enrollment Period, you can buy a Medicare Supplement policy from any insurance company that’s licensed in your state.

  • If you want to drop your Medicare Supplement policy, write your insurance company to cancel the policy and confirm it’s cancelled. Your agent can’t cancel the policy for you.

  • Any standardized Medicare Supplement policy is guaranteed renewable even if you have health problems. This means the insurance company can’t cancel your Medicare Supplement policy as long as you pay the premium.

  • Different insurance companies may charge different premiums for the same exact policy. As you shop for a policy, be sure you’re comparing the same policy (for example, compare Plan A from one company with Plan A from another company).

  • Some states may have laws that may give you additional protections.

Interested in Purchasing a Medicare Supplement Plan?