Medigap plans, also known as Medicare Supplement Insurance, are implemented to provide additional coverage and financial protection to individuals who have Original Medicare. These plans are designed to help fill the gaps in Medicare coverage, such as deductibles, copayments, and coinsurance. Here are some key reasons why Medigap plans are implemented:
1. Cost-sharing protection: Medigap plans help individuals manage their out-of-pocket expenses by covering certain costs that are not covered by Original Medicare. This can include deductibles, copayments, and coinsurance.
2. Coverage for services not covered by Medicare: Medigap plans may offer coverage for services that are not covered by Original Medicare, such as emergency medical care while traveling outside the United States.
3. Choice and flexibility: Medigap plans provide individuals with the freedom to choose their healthcare providers and facilities, as long as they accept Medicare patients. This allows individuals to have more control over their healthcare decisions.
4. Peace of mind: Having a Medigap plan can provide individuals with peace of mind, knowing that they have additional coverage and financial protection in case of unexpected medical expenses.
5. Predictable healthcare costs: Medigap plans can help individuals budget for their healthcare expenses by providing predictable costs. With a Medigap plan, individuals can have a better understanding of their out-of-pocket expenses and plan accordingly.
It's important to note that Medigap plans are sold by private insurance companies and are regulated by both federal and state laws. The availability and cost of Medigap plans may vary depending on the individual's location and the insurance company offering the plans.
Overall, Medigap plans are implemented to provide individuals with additional coverage and financial protection, helping them manage their healthcare expenses and have peace of mind. It's always recommended to carefully review and compare different Medigap plans to find the one that best suits individual needs and preferences.