Medigap Plan B Benefits and Coverage
Medicare Supplement Plan B, also called Medigap Plan B, offers the same benefits as Plan A, but, in addition, it will also pay your Part A hospital deductible for you. This is a significant benefit as the deductible in 2015 is $1,260, and tends to go up slightly each year.
In addition, your deductible is a per-incident deductible, not an annual one, so if you have several hospital stays in the same year, you could end up paying that fee more than once.
Here’s an example: Joe has a heart condition that causes him to have an overnight hospital stay in March, and then he is admitted again in July for the same condition. Because his hospital stays are more than 60 days apart, he would normally have to pay the $1,216 deductible TWICE, one for each hospital stay. Fortunately, Joe planned ahead and purchased a Medigap Plan B policy. That policy pays both deductibles for him, and he owes nothing to the hospital for his semi-private room during the stay.
His policy does not cover some things, like foreign travel or excess charges, but since Joe does occasionally have hospital stays related to his ongoing condition, it was important for him to buy coverage that would pay the deductible for him.
Plan B is not the same as Part B
Medigap Plan B is just one of the many different supplements you can purchase to help offset some of the expenses that you would otherwise have to pay for. It is not the same as Part B, which is your outpatient medical coverage that you purchase directly from Social Security. Most people pay $104.90/month to Social Security for Part B, and then they still need a supplement to help them pay for the things that original Medicare doesn’t cover. Just make sure not to confuse the two – and if you feel uncertain, give us a call so we help.
Because these two things are so similarly named, many people find the terminology frustrating and hard to understand. It’s very important to understand the difference before you make an insurance choice. In order to choose supplemental coverage that is appropriate for your individual needs and budget, a good understanding of your basic benefits can be really helpful
Fortunately, the Medicare insurance agent experts at Boomer Benefits can help – just call our agency for no-hassle help in understanding your benefits, or complete an online request here: