The Basics of Supplemental Health Insurance

The Basics of Supplemental Health Insurance

There are various types of health insurance that fall under the category of supplemental insurance. Any form of medical coverage you need that isn’t mentioned in the terms of your existing healthcare plan can be filled with a supplement insurance plan. Here are important things you should know about adding supplemental insurance to your existing health insurance plan.

Basic Facts about Supplemental Health Insurance

Getting supplemental health insurance can be described as customizing your healthcare coverage. You should discuss your healthcare needs with a health insurance agency expert to ensure you currently have sufficient coverage. They can let you know which type of add-ons you need for your policy, which may include the following:

  • Critical illness and cancer
  • Disability or hospital confinement
  • Fixed indemnity with a predetermined payment plan
  • Long-term care to protect assets and provide more control

Medicare Supplemental Coverage

Seniors can tap into Medicare after they reach the age of 65 or when they become disabled. The basic plan is divided into parts A and B, which can then be extended with supplemental coverage known as Medigap. This coverage may assist with copays, coinsurance, and deductibles. Moreover, it includes coverage when you travel to other countries.

  • Plans A and B: cover basic costs for hospital stays, medicine, and care
  • Plans C and D: help reduce out-of-pocket costs for plans A and B
  • Plan F: available only to Medicare beneficiaries eligible prior to Jan. 1, 2020
  • Plan G: provides emergency care abroad with a high deductible option
  • Plans K and L: These plans have lower costs than those mentioned above
  • Plan N: Also a lower premium plan, covers skilled nursing care coinsurance

Other Types of Supplemental Coverage

Various other health insurance plans exist for seniors beyond Medicare. Certain types of care such as dental and vision are usually not included in basic plans for seniors. Accident plans, for example, are add-ons that pay for medical assistance that isn’t covered by Medicare or other insurance. Another example is if you develop a health condition such as cancer, you can get a specialized supplemental cancer plan.

Even though Medicare provides extensive coverage for seniors, it doesn’t cover everything such as extended hospital stays. A hospital confinement plan pays a daily cash benefit for hospital confinement associated with an accident or illness. A disability plan also pays a monthly cash benefit if you become disabled by an accident or illness and are not able to work.

A long-term care plan covers moving into a senior care facility, which can otherwise be very expensive. Fixed indemnity plans extend Medicare by paying a fixed cash benefit for specific illnesses and injuries.

While Medicare covers a wide range of medical costs for seniors, many individuals need supplemental insurance to fill in coverage gaps. Reviewing your plan with an insurance expert is the best way to determine if there are gaps in your coverage. Contact us at Medicare Advisors to learn more about getting the right healthcare coverage for all your needs.