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Medicare is a well-known term for American employees. It is a health insurance program administered by the government. It is an insurance program intended for those who are over the age of 65 and for those who fall under the category of the disabled. Medicare Supplement Insurance is a supplement to Medicare that is considered to add coverage to Medicare where additional benefits may be added. Also known as Medigap, Medicare Supplement Insurance may provide further coverage for limited long-term care expenses. The Medicare beneficiary must purchase Medicare Supplement.

Why would you need one? Simply because there are gaps in Medicare. Medicare was never intended to completely cover all your medical fees. With the rising costs of prescription drugs and other forms of maintenance, a supplement is a must. A Medicare Supplement insurance benefits package may be bought from most major health insurance carriers. Medicare supplemental insurance plans must be approved by the government’s Department of Insurance so no discrepancy or any inconsistencies may take place. Health insurance providers are a diverse lot – no two are the same, no two offer exactly the same benefit. It’s always an excellent idea to shop around for the company that suits your taste.

As you get comparative quotes for Medicare Supplement Insurance rates, remember that:

· There are extensive and sometimes incomprehensible disparities in policy premiums.

· Prices may vary significantly because of a number of factors, such as the number of claims insurance companies will have to pay.

· You could end up paying more than twice the amount of the premium someone else is paying for the exact same benefits.

· Your premium will be based upon your age at the time of purchase, and the premium increases as you add another year – that is, if the insurance company adheres to the issue-age method.

· If not, the purchaser of said Medigap policy pays the same price, in spite of the age.

Who is eligible to buy the supplement? As stated above, a Medicare beneficiary who have Medicare Part A and B can buy the policy. Things not included in Medical Supplements are long-term care, vision or dental care, hearing aids, private-duty nursing care, and outpatient prescription drugs.

Now Medicare supplement is divided into 12 policies – Medigap Plans A to L. Plans A – J are essentially the same, and Plans K and L are alike.

Medigaps Plan A – J have higher premiums compared to K and L. there is virtually no out-of-pocket cost. The basic benefits are fewer than K and L, but the extra benefits are higher, including the likes of preventive care and foreign travel emergency.

Medigaps Plan K and L have lower premiums. Hospice care is included in the basic benefits, and only Medicare Part A deductible, as opposed to Medigaps A – J with an added Medicare Part B deductible.

Robert co-founded Insurance4USA.com, an insurance quote shopping service, in 1999. He has been a licensed insurance agent in New York State since 1990.