Why Medigap Plan Should You Purchase?
Originally, there were 12 distinct plans labeled A trough L under the standardized Medigap Plans. The government does not provide Medigap Plans but you can buy them from privately owned companies. These plans offered through private businesses provide different combination of benefits for the Plan holder.
Two new plans have been introduced, namely , Plans M and N. Plans M and N replaces Plans E, H, and J which are not longer offered by insurers. If you currently have these policies, then it will be renewed automatically without any changes in your coverage.
The new Plans M and N coverage provides some extra cost-sharing in exchange for reduce premiums. You should consider these plans and find out if it is suitable for you and your loved ones.
The new plans M and N are quite similar to the most popular Medicap plan F. But, the M policy only covers half of the deductible required for Medicare Plan A. Plans M and N do not cover the Part B deductibles.
Part B’s excessive charges are not covered by Plan M. Physician charges that is not covered by Medicare falls under excessive charges.
Plan N, on the other hand, completely covers the Part A deductible. You can have co-payments for doctor’s office appointments. Also, a hospital emergency room visit has a co-payment. This is the reason why Plan N is sold more than Plan M. Plan N typically costs less than plan F.
If you want to change plans, compare the premium savings to the possible out-of-pocket co-payments and deductibles. Even if Plan N is less expensive than plan F, you will be required to pay Part B’s co-payment.
Another important thing to determine is the total amount of your co-payments, and the maximum number of time you may visit the emergency room and your physician’s office. Determine if you will be spending less with plan N. Plan F covers Part B’s excessive charges but are not covered under plans M and N. This is important if your physicians tend to charge more than what Medicare will pay for.
NO matter what the state of your health is, if this is your first time to sign up for Medicare Part B, then you can qualify for any of the plans. But, if you do not sign up with the open-enrollment period, you can be rejected due to health conditions. However, you can purchase plans M and N from some insurers regardless of your health if you previously had E, H, I or J Medigap Plans.
Ultimately, the choice of a Medigap plan solely belongs to you.