Medicare Supplement Insurance Companies
2014 Medicare and Medigap Updates
If you are approaching the age at which you are eligible for medicare, it is time to start looking at some of the medicare supplement insurance companies. They can save you from a financial disaster if you ever have an illness or accident that requires extensive and long term medical attention.
Many people think that when they retire medicare is going to take care of most of their medical bills. Unfortunately this is far from the truth. Although medicare is wonderful to have and pays a very large percentage of accrued medical bills, there is still around a 20% portion they are not going to pay.
If an individual has just a short hospital stay, it is probably not anything that will hurt them seriously as far as their finances go. However, a month long hospital stay for a serious illness or accident that included a number of medical tests and a lot of intensive care could easily run into hundreds of thousands of dollars. If an individual is not insured for an event like this they could find their life's savings quickly being spent on medical bills and expenses. This is why anyone enrolling in medicare should also look at what is available as backup coverage from the medicare supplement insurance companies.
The medicare supplement insurance companies have policies that are referred to as medigap. The reason they got this name is because they fill in the gap where medicare stops paying. Though this plans must be purchased through private insurance companies, the medicare supplement plans are closely monitored by the government and there are regulations in place that protect the medicare recipient.
Most retirees enroll in medicare plans A and B once they become eligible. Plan A is free but plan B requires that you pay a reasonably small premium which the government will deduct from you monthly check. The two of these plans together give the medicare recipient fairly good overall insurance coverage. However, as stated earlier they stop paying on many items at around 80% and there are some items that medicare does not pay.
Medicare supplement insurance companies have a number of polices to choose from which have letters from A to L. Although private insurance companies can set their own premium rates, the plans are all identical no matter which company you buy from. In other words if you buy a plan C, it has the exact same coverage regardless of what company you buy from. This is regulated by the government and the participating companies must abide by it. For this reason, it is always advisable to shop prices when it comes to supplement medicare insurance. The prices will vary from company to company but the coverage will still be the same.
Every individual has a different financial situation and they must choose their supplement polices wisely. You do not want to pay for coverage you do not need but you do need to be covered from a catastrophic illness or accident if you can possibly afford it.
All private insurance companies do not carry medicare supplement policies. If you think it is time to start looking into a policy you can easily acquire a list of medicare supplement insurance companies on the internet. One of the places you may want to begin your search is on the official medicare government website.
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