Medicare Supplement Policies, ABC's and 123's

All Medicare supplement policies come with a letter designation. If yours does not, then you need to talk with your insurance agent. It may be that you do not have a standard supplement policy. The standard supplements have a regular set of benefits. Plan A at Company ABC will have the same benefits as Plan A at Company XYZ. Supplement letters begin at A and go through L. Starting soon, two new ones are going to be added with M and N. All of these letters may sound like the ABC song gone awry. It can be confusing for most anyone.

Out of all of the Medicare supplement policies, which one is right for you? Basic coverage starts with plan A. This plan will cover the additional hospitalization costs for longer stays up to 150 days. Medicare coverage for hospital stays will stop as some point. You get 365 more days of hospital stay when Medicare stops. Part B costs for coinsurance are also covered by this plan. It covers the three pints of blood that you would have to cover. Beginning in 2010, hospice care will be covered. Other supplement plans (from B to N) include the basic Plan A benefits. The other plans come with more benefits however.

Medicare supplement policies offer options beyond Plan A basics. Deductibles for Part A and B can be hit your pocket hard. Supplement Plan B covers the deductible for plan A. Plan C provides pays the deductibles for both Medicare Part A and B.

It also provides partial coverage for a stay at a skilled nursing facility. You will also be covered for up to 80% of the costs of emergencies that occur during foreign travel. Plan D is like Plan C because it does not cover Part B deductible. Plan F covers what Plan C does plus provides coverage for the excess charges that can come from Medicare Part B. Plan G does not provide coverage of the Part B deductible. It covers 80% of the Part B excess charges. Plans K provides partial coverage of the Part B excess at the 50% level. Supplement Plan L covers 75% of the Part B excess.

Choosing from the Medicare supplement policies will get more confusing in 2010. There are new options becoming available with plans M and N. Plan M will increase the patient’s portion of cost-sharing. Part A's deductible will be covered at 50%. Part B's deductible will not be covered. Plan N will include a co-payment option. The patient will need to make a co-payment with every time they visit a doctor or health care facility. No coverage of the Part B deductible is covered. This alphabet storm can be very confusing. Speak with a qualified insurance agent to wade through the ABC’s and 123’s.