How Do Medicare Supplement Plans Work?
Original Medicare consists of Part A and Part B, which are Hospital Insurance and Medical Insurance, respectively. Together, Medicare Parts A and B cover and pay for many, but not all, of the healthcare services and supplies that seniors will need. A Medicare Supplement plan will help pay for the beneficiary’s share of some things that Medicare does not cover.
Here are some important things to know:
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Medicare supplement plans are not the same as Medicare Advantage plans.
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Beneficiaries must pay a monthly premium for their Medicare Supplement plan in addition to the Part B premium from original Medicare.
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Private insurance companies that provide Medicare supplement policies cannot cancel the beneficiary’s coverage even if they have persistent health problems.
What Do Medicare Supplement Plans Cover?
Medicare Supplements help to cover costs not covered by Original Medicare. Each plan provides a range of benefits. Basic benefits can include the following:
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Part A coinsurance and hospital costs up to an additional 365 extra days after Medicare benefits are used
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Part B coinsurance or copayment
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Blood (first 3 pints)
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Part A hospice care coinsurance or copayment
Certain Medicare Supplement plans may include additional benefits such as:
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Skilled nursing facility care coinsurance
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Part A deductible
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Part B deductible
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Part B excess charge
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Foreign travel exchange (up to plan limits)
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Out-of-pocket limit
What Do Medicare Supplement Plans Not Cover?
While Medicare Supplement plans cover many things, there is a general list of procedures and services that they do not cover. This list includes the following:
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Long-term care (like non-skilled care you get in a nursing home)
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Vision or dental services
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Hearing aids
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Eyeglasses
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Private‑duty nursing
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Prescription drug coverage
Beneficiaries who need prescription drug coverage can find it under Medicare Part D. To get coverage for the previously mentioned products, and other goods and services, a Medicare Part C, a Medicare Advantage Plan, can be a good option.