It is really tough when you make decisions about your health wellness especially if all options are good however, you must only choose the best since you can’t have both. This will leave you questioning yourself if should you go for Medicare Advantage Plans or just use Medigap to supplement your Original Medicare Program?
Medigap policies are really useless when you apply for Medicare Advantage so you might just want to drop your Medigap policy to be eligible with Part C. Therefore, it is essential to understand first each insurance plans to be able to know their similarities and differences to influence your final decision as to which plan really satisfies your needs.
Medigap or Medicare Supplement Insurance is a type of health insurance that supplements the Original Medicare. Since normal Medicare only covers Part A and Part B, Medigap will fill in the gaps left by the original Medicare like helping you pay the unexpected out-of-pocket costs outside Medicare’s coverage. These out-of-pocket costs include deductibles, health care costs usually incurred when you travel abroad, coinsurance and copayments.
Medicare Advantage Plans
Medicare Advantage Plansare all-in-one alternative to the normal Medicare plan. These packages not only offer Part A (Hospital Insurance) and Part B (Medical Insurance) but as well as Part D (Drug Prescription Coverage) and other health services like vision, hearing, dental, and health fitness programs. Since there are various types under this network, additional benefits include transportation allowances to visit your doctor, home care services, over-the-counter drugs, and many more.
Comparison between Medigap and Medicare Advantage
Despite being both reliable health insurances, Medigap and Medicare Advantage also have their own differences in relation to:
- Price – Both have different costs but Medigap plans have higher monthly premiums compared to Medical Advantage. However, the latter covers less expenses because of their limitations which could result to more out-of-pocket costs if you spend more than what they set.
- Freedom to choose your provider – Both allow you to select doctors or providers who are Medicare-approved but Medigap offers more flexibility. Most plans under Medicare Advantage would usually grant you to choose only physicians or health care institutions that are under their network otherwise you’ll have to pay for all the out-of-pocket expenses outside their coverage.
- Location – One thing to consider in choosing the best plan is the convenience it can give to your lifestyle. If you rarely travel and would prefer enjoying your life in your hometown then Medicare Advantage is the best option for you. These plans usually have their netwrok exclusively in one region so your costs outside their area of coverage will no longer be their cargo. On the other hand, if you are the type of person who is fond of going in and out the country then you might just consider having Medigap. They actually have plans that have a coverage in all of 50 states as well as traveling internationally.
Provided above are the major differences of Medigap and Medicare Advantage Plans which would really help you decide which plan is best suited for you since the final decision will always depend on your needs.