Medicare Supplement insurance, often called Medigap, helps with some of the medical out-of-pocket costs and deductibles Original Medicare does not cover.
What are some of the costs Medicare doesn’t cover?
There are three types of payments the insured person is responsible for and not covered by Original Medicare. These are:
Copayments
Are usually a fixed amount; it is the amount you are required to pay as shared costs for the benefits, such as a copay for a physician visit.
Coinsurance
Usually, a percentage is paid once the deductible is paid. This may involve medical expenses such as lab work costs and hospital stays for an extended period of time.
Deductibles
Usually, an annual amount needs to be fulfilled before Medicare Supplement insurance begins paying.
Does Medicare Supplement insurance cover Original Medicare Part B copayments and coinsurance?
Yes. Depending on the plan you choose, you may have 100% coverage or some variation. The Medicare Part B deductible is not covered by Medicare Supplement insurance. This is an annual amount you pay on Plan C or Plan F.
Some of the following variations according to the plan chosen are:
Plans A, B, C, D, F, G, M, and N cover coinsurance and copays. However, if you choose the option of a high deductible with Plan F or G (these two high deductible plan options have a lower premium payment), you will have to satisfy the deductible first before the copays and coinsurance coverage begins. The high deductible Plan F and G in 2023 are both $2,700.
Plans K and L will cover Medicare Part B coinsurance and copayments for the rest of the calendar year once the out-of-pocket yearly limit is satisfied. Until the limit is met, Plans K and L will cover 50% and 75% of the covered services.
Plan N pays 100% of the Medicare Part B coinsurance. The co-payment is up to $20 for some office visits and up to $50 copayment for emergency room visits that do not result in inpatient admission.
Most Medicare Supplement insurance plans cover the Medicare Part A coinsurance and coverage for inpatient stays once Medicare coverage ends
Part A coinsurance and hospital costs are covered by all 10 Medicare Supplement insurance plans. This includes 365 days after the Medicare benefits are exhausted for inpatient care.
Medicare Part A deductible is covered by Plans B, C, D, F, G, M, and N. Plan A of Medicare Supplement insurance does not cover the deductible for Medicare Part A, which in 2023 is $1600.
Plans K and L cover 50% and 75% of the deductible. The insured must pay the rest of the deductible.
Source: United American Insurance