Medicare Supplement Insurance
Definition - What does Medicare Supplement Insurance mean?
Medicare Supplement Insurance is a policy that provides coverage for medical or health needs that are not covered by Medicare. A Medicare policy is needed to get this insurance, however. While Medicare is a government program, Medicare Supplement Insurance is provided by private companies.
It is also known as Medigap.
Insuranceopedia explains Medicare Supplement Insurance
Medicare is a US federal government health program for senior citizens (65 and above). It offers two types of policies: Medicare A and Medicare B. Medicare A covers mostly hospitalization, while Medicare B pays for medical services like doctor's consultations. Only those who already have either Medicare A or Medicare B coverage can avail themselves of Medicare Supplement Insurance.
Medigap usually covers co-payments, deductibles, and healthcare outside the US.
Medigap policies are mostly the same across states, with the exception of Massachusetts, Minnesota, and Wisconsin:
- Massachusetts doesn’t cover foreign travel emergencies, deductible (for Part B), skilled nursing facility coinsurance, and in-patient hospital deductibles.
- Minnesota doesn’t cover you while you are in a foreign country, usual and customary fees, part B deductibles, as well as in-patient hospital deductibles.
- And lastly, Wisconsin offers riders to your Medigap policy to cover whatever isn’t covered in your plan, like 50% Part A deductibles, foreign travel emergencies, and Part B deductibles to name a few.
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