This is one of the 10 Medicare Supplement Plan available. It is a cost-sharing plan just like the Medigap Plan L. In such a pan, the approved medical costs are usually shared between the individual using the policy and the insurance company that issued it. The percentages each bares depends on the policy itself. These plans also come with fewer benefits, something that translates to cheaper premiums when compared to other more comprehensive Medicare Supplement Plans 2019.
Benefits of Medigap Plan K
There are plans out there that cost a little extra each month in comparison to Medicare Supplement Plan K. They also offer a lot more in terms of coverage, benefits, and value for money. Such plans include the Medigap Plans G and F which are two of the most subscribed to by senior citizens
Generally, Medigap Plan K shares the cost with the insurance company at a 50% rate of the covered costs and expenditures. Though this is a welcome relief, there are still quite a number of costs that are left to the insurance beneficiary to take care of by themselves. Beneficiaries pay the remaining half of the cost and this plan does not cover the excess Medicare Part B charges. It also lacks the cover for emergency medical services outside the united states.
Medigap Plan K Coverage
This Medigap Policy covers coinsurance hospital costs for up to 365 days after the original Medicare policy benefits have been exhausted. There is also a coinsurance cover for Medicare Part B preventative care. The following costs are covered up to 50% by this Medicare Supplement Plan.
- Copayments and or coinsurance for Medicare Part B
- Hospice care copayments and coinsurance for Medicare Part A
- The first three pints of blood needed for an approved medical procedure
- Coinsurance for skilled nursing facility care
- Deductibles for Medicare Part A
This plan also comes with an out of pocket limit which means that you do not have to keep taking care of such expenses all year round. The limit is around $5120 and after you’ve reached it, the Medigap policy steps in and pays for 100% of these expenses for the remainder of that financial year.
While Medicare Supplement Plans K and L are usually cheaper in terms of premiums, the cost sharing aspect leaves them with very little to offer in terms of benefits. These are usually quite attractive policies during the presentation stage, especially if you are looking to tighten the belt and save a little money or have very little in your rainy day account. However, if you have serious medical issues that may require a lot of medical attention, it is always advisable to pay a little extra and something more comprehensive. Higher-tier Medigap covers also come with a lot of benefits in terms of coverage and this could prove the difference between visiting a specialist and simply going to a general doctor. Always consult with a lot of sources before setting on a Medicare Supplement Plan.