Medigap which is also referred to as Medicare supplemental insurance or medicare supplement insurance entails different private plans for health insurance purchased by USA’s supplement medicare. Medigap insurance offers some co-insurance an many co-pays coverage to hospitals covered by Medicare, doctor charges, durable medical equipment, ambulance, home health care and skilled nursing facility. The name Medigap is gotten from the fact that it was established to close a gap or difference between the overall charges for services and the costs incurred by Parts A and B Medicare providers.
For an individual to be eligible for Medicare Part A and Part B, they must register for a Medigap plan in a health insurance Florida company or the state where they reside. Individuals, who are 65 years and above as well as new to Medicare Part B, are eligible for open Medigap enrolment. The time frame which lasts for about 6 months begin the first day the individual becomes 65 years. A plan for Medigap can be purchased by the individual during this time frame, irrespective of if he or she is health or not. This is not the same with an individual who is retiring or losing coverage by a group. If this is the case, the individual has a right known as ‘Guarentee Issue’ which he or she can exercise. The right allows the individual to get a Medigap A, B, C, F, K or L plan that can be purchased from the insurance companies that are operating in his or her area. Furthermore, current or past health conditions cannot be used to raise or deny premium based on this circumstance.
Drug coverage under Medigap
Before the 1st of January, 2006, the Medigap policies available could cover drug prescription. From 2006 however, drug coverage were no longer include in Medigap policies. It was during the period that the Part D of the Medicare benefit was established. Individuals can therefore register for only the Part D of the Medicare gaps since the Medigap policy does not cover for their drugs. In May of the same year, individuals with medicare eligibility were given the opportunity to change Medigap policy to others that will not cover for their drugs. People who also chose to retain their initial Medgap policy also lost the drug coverage.