What does MediGap insurance typically cover?

MediGap insurance, also known as Medicare Supplement insurance, is designed to cover certain out-of-pocket expenses that Original Medicare (Parts A and B) does not fully cover. Specifically, it typically helps with costs such as annual deductibles, co-payments, and co-insurance.

For example, while Medicare covers many healthcare services, beneficiaries are still responsible for certain costs, like the deductible for hospital stays or co-payments for outpatient services. MediGap policies provide additional coverage that helps to reduce these out-of-pocket expenses, allowing beneficiaries to manage their healthcare costs more effectively.

In contrast, while complete hospital care is provided by Medicare Part A, MediGap does not cover services that are already included in Medicare benefits. Out-of-pocket expenses for Medicare Part C, which refers to Medicare Advantage plans, are distinct and do not fall under the purview of MediGap. Finally, MediGap insurance does not provide free healthcare services; it functions as a supplemental policy to help pay for costs incurred under Original Medicare.