Does one need a Medicare Supplement Policy?

If you have Medicare unlike your old traditional major medical policy there is no limit on how much money you could owe during the course of a calendar year. On traditional Major Medical Policies there are annual spend limits, typically separate for both in and out of network care.  With Medicare you face out of network costs and unlimited cost sharing. A lot of the costs will depend how much you use care but they still exist.

Because the numbers change each year and I am not focused on super specific numbers, I don’t plan to quote the Part A co-payments and Part B deductibles for any given year here, other than to say they exist. Each year the numbers typically increase as well making your stay in the hospital or visit to the doctor or other outpatient provider more expensive as well.   In the event you get really sick during the course of a year you could face rapidly mounting out of pocket costs that can easily be controlled with the appropriate coverage in place.

Medicare Supplement plans will cover (depending on the plan design you take) some portion or as much as all of the cost sharing the Medicare leaves for the member to pay. Also, select Medicare Supplement plans also pay the portion above Medicare allowable (which is a 15% surcharge) that out of network providers, (those providers who do not accept Medicare assignment) are allowed under the laws to charge you. This provision helps quite a bit for those who get an illness and need care in an area where the available doctors who treat Medicare enrollees are somewhat limited.  

With a Medicare Supplement you can eliminate the need to worry about going out of pocket for your care. The Supplement, when you pick a Plan F will pick up where Medicare leaves off, for Medicare covered care.  That is one key thing to remember that if you are seeking care that Medicare doesn’t cover neither Medicare nor the supplement coverage will kick in to pay.  Those rare situations aside, your Medicare Supplement policy will provide you with a predictable monthly/quarterly/semi-annually/or annual premium that you pay and avoid the surprise out of pocket costs. 

When you get a plan F which is the most popular plan sold you will pay your premium and avoid paying out of pocket for your care as you go. This plan is so popular because it allows in particular those on fixed incomes to better control their monthly expenses. It is also extremely popular because it allows the plan member to get whatever care is recommended without thinking about can I afford the care or test right now, or do I just need to defer it a while. 

On select Medicare Supplement plans you can even seek limited emergency care outside the United States of America and have some coverage, typically up to $50,000 lifetime coverage with a $250 deductible and 20% co-insurance paid by you. This however is a great benefit for those who travel because Medicare does not otherwise provide any coverage for your medical care outside of the United States.

Because Medicare Supplements work super well with those who have both Part A and Part B Medicare and help control budgets for the insured, Medicare Supplements are very popular with those 65 and over who are on Medicare.  They are best procured when you are first eligible for Medicare, but can be secured at any time once you are on Medicare. Just know that if you are not in a guaranteed eligibility time frame you are subject to full medical underwriting which could prove difficult if you have medical conditions. For expert advise picking the Medicare Supplement Plan in Texas right for you check with us.

We are always helping our clients select the most appropriate plan for their Medicare needs, so give us a call to assist you with the right choice.