Gaps in Original Medicare Coverage can Leave You Exposed to Considerable Financial Liability
Perhaps one of the most common types of private insurance that is purchased and used in combination with Medicare Part A and Medicare Part B is a Medicare Supplement Plan. Many people don’t realize this, but original Medicare has gaps in coverage that can leave the Medicare policy holder significantly financially exposed. For example: Medicare Part B only pays 80% of all doctor bills and all out-patient treatment, including chemotherapy and radiation. That 20 percent financial exposure can add up really fast.
A private Medicare supplement policy helps pay those gaps in coverage, particularly that 20 percent portion. However, there are a wide range of Medicare supplement plans to consider and it often takes the feedback and advice of a qualified appointed independent agent to understand the various gaps in each of the plan options available.
For example; Plan F Medicare supplement (the most popular) pays all the gaps in Medicare, while other plans only pay some of the gaps. The network for Medicare supplements is the Medicare Network. However, some providers will accept Medicare payments on assignment and others can choose not to. If that provider chooses not to accept Medicare on assignment, they can balance bill you, the patient for an additional 15 percent. This is called the excess charge gap.
The Medigap Plan F and Medigap Plan G are the only Medicare supplemental plans that cover this excess charge. Understanding this particular facet of Medicare coverage is crucial if you want to avoid numerous medical bills in the future.
Doctors & Facilities That Accept Medicare, Must Also Accept Your Medicare Supplement Insurance
So, regardless of the insurance company you choose, they all utilize the Medicare network. In other words, as long as Medicare pays the bill, the Medicare Supplement has to follow suit. Doctors and facilities that accept Medicare, must also accept your Medicare supplement. In other words, whatever original Medicare pays, the supplement must also pay its share. The billing procedures for Medicare supplements’ are also standardized and regulated by the Federal Government.
All Medicare Supplement Plan Benefits are Standardized Nationwide
Medicare supplements utilize a “Medicare crossover” billing system. This allows the provider’s billing departments to review payment for claims without having to manually bill each and every private Medicare supplement insurance company. All Medicare supplement benefits are standardized nationwide as well. For example, you may see quotes like this: United American Plan F at $237 per month, UnitedHealthcare Plan F at $264 per month, Mutual of Omaha Plan F is at $285 per month, Gerber Life Plan F at $273 per month. The prices vary, but the benefits are identical between companies.
Given this information, you would likely choose the United American Plan F as it has the best premium. You should also choose an insurance carrier that has a long history of writing Medicare Supplement insurance business as well as having a healthy financial status such as an A rating with A.M. Best or an A rating by Standard & Poor.
For more information on how Florida Medicare Supplement Insurance can help with your health insurance needs call Neil Primack (561) 935-3907 or email him at: firstname.lastname@example.org.