Things You Should Know About Medicare

  • You must have Medicare Part A and Part B.
  • Not all Medicare Supplement insurance companies offer all plans and no insurer is required to offer any plan other than plan “A” in areas where they plan to offer Medicare supplemental insurance.
  • It’s illegal for anyone to sell you a Medigap policy if you have a Medicare Advantage or Medical Savings Account (MSA) Plan.
  • All Medigap policies are guaranteed renewable even if you have health problems. This means the insurance company can’t cancel your Medigap policy as long as you pay the premium.
  • If you have a Medicare Advantage Plan, you can apply for a Medigap policy, but you must leave the Medicare Advantage Plan before your Medigap policy begins. This should be coordinated to end and begin at the same time. I.e 11:59PM on one day and 12:00AM of the next.
  • You will pay the private insurance company a monthly premium for your Medigap policy in addition to the monthly Part B premium that you pay to Medicare. The Medigap Company cannot deduct your premium from you Social Security benefits, which can be done for a Medicare Advantage and/or Medicare Part D plan.
  • A Medigap policy only covers one person. If you and your spouse both want Medigap coverage, you’ll each have to buy separate policies. Some companies may offer discounts for a husband and wife who purchase policies from the same company even if they are done at different times.
  • You can buy a Medigap policy from any insurance company that’s licensed in your state to sell one. Depending on timing some health questions may be required by the insurer before they will approve and issue the policy.
  • Do not cancel an existing Medigap policy until the new Medigap policy has been approved.
  • Some Medigap policies sold in the past may cover prescription drugs, but Medigap policies sold after January 1, 2006 aren’t allowed to include prescription drug coverage. If you want prescription drug coverage, you can join a Medicare Prescription Drug Plan (Part D).