Medigap Insurance Company
2014 Medicare and Medigap Updates
Medigap Insurance Company
One of the dangers inherent in the process of Medigap supplemental insurance selection is that prospective policy owners oftentimes take the identity of the Medigap insurance company for granted knowing fully well that the price and coverage options are well regulated with federal law. You hear it every time a Medigap advice is given: evaluate the coverage that suits your needs, and then compare the prices offered by various companies. Past that point, many never bother to say you need to assess the Medigap insurance company offering the service before deciding.
But why is this a danger, one might ask? The answer is simple: despite the fact that federal regulations have a tight hold on coverage, and pricing is a pretty straight-forward attribute to compare, there are various characteristics of companies that differentiate one from the other.
Among these characteristics that one should be mindful of are the following:
1. Company stability - Like any other insurance company, a Medigap insurance company should also be assessed for its ability to settle claims. In this tough economic environment, it is not impossible that some companies can barely keep their heads above water and as result, go on massive advertising campaigns to increase their sales without even considering if they can pay off all the claims when everyone comes through the door all at once. Of course, these are considerations that may be hard for anyone from the outside looking in to find out, but there are telltale signs that may help one figure it out.
The most important clue can be had by reading reviews and third-party assessment of the performance of any Medigap insurance companies you are thinking of doing business with. One needs to be conscious of what the reviewers and assessors are saying and use this as a basis for selecting a Medigap insurance company that they feel certain has financial stability.
2. Claims process - There is no sense in choosing a company with a great claims record if the process is as cumbersome as pulling one’s teeth. Sadly, there are companies with confusing processes that can prolong the agony of a claim. One should take the time to review the claims process of a Medigap insurance company under consideration prior to deciding to sign up. You can always ask from the state health personnel if they have information on the claims process. Any extra information should be taken into consideration so you can make more informed decisions on your preferred policy.
So, do not settle on the price and coverage as the sole indicators when selecting a Medigap insurance company. Go out of your way to check the company’s stability and the ease of the claims process so you can go into the arrangement with peace of mind. After all, you are buying a Medigap policy so you don’t have to worry about excess out of pocket expenses and at the same time feel secure that those payments will be made without a long wait and a lot of mental anguish.