You can buy Medigap insurance from a private insurance company to pay for costs not covered by Original Medicare.
There are 12 standardized Medigap plans approved by the federal government.
Medigap plans don’t cover the costs of prescription drugs—for that, you need to get a Medicare Prescription Drug Plan (Part D).
You can buy Medigap during an open enrollment period after you turn 65.
Your insurance company can’t cancel the policy if premiums are paid, even if you experience health problems.
Original Medicare pays for much, but not all, of the cost for covered health care services and supplies. Medicare Supplement Insurance (Medigap) policies sold by private companies, can help pay some of the remaining health care costs for covered services and supplies, like copayments, coinsurance, and deductibles.
Original Medicare—defined as Parts A and B—will not cover all expenses associated with an illness. Medigap policies are designed to cover all or a portion of those extra charges, depending on the type of coverage, but generally don’t include long-term care, vision, dental care, hearing aids, eyeglasses, or private nursing.
Although private insurance companies offer Medigap coverage, the federal government requires companies to offer standardized policies. Your 12 choices are plans A, B, C, D, F, F-High Deductible, G, G-High Deductible, K, L, M, and N.
However, for those who become newly eligible for Medicare in 2020 and after, plans C, F, and F-High Deductible are no longer available. That’s because these plans cover the Medicare Part B deductible, the amount you have to pay before coverage kicks in, which is $203 in 2021.
*
*The F Plan is no longer available to new enrollees. However, if you had previsouly enrolled in an F Plan you are grandfathered in and will not lose your coverage.
A Medigap policy covers coinsurance only after you've paid the deductible (unless the Medigap policy also pays the deductible).
Monthly premiums for a Medigap policy are paid to a private insurance company that is licensed to sell such policies in your state and are in addition to the monthly premium for Medicare Part B. A policy only covers one person. So, if you and your spouse want coverage, you each need a separate Medigap policy.
Furthermore, according to Medicare.gov,
“The best time to buy a Medigap policy is during your six-month Medigap open enrollment period…. During that time you can buy any Medigap policy sold in your state, even if you have health problems. This period automatically starts the month you’re 65 and enrolled in Medicare Part B (Medical Insurance)…. After this enrollment period, you may not be able to buy a Medigap policy. If you’re able to buy one, it may cost more due to past or present health problems.”
Medigap coverage does not work with a Medicare Advantage Plan (Part C). Therefore, if you have a Medicare Advantage Plan, it is illegal for someone to sell you Medigap coverage.
