What does Medigap insurance provide?

Medigap insurance, also known as Medicare Supplement insurance, is specifically designed to fill in the gaps left by Original Medicare, which consists of Part A (hospital insurance) and Part B (medical insurance). It provides additional coverage for costs that are not fully paid by Medicare, such as copayments, coinsurance, and deductibles.

For example, while Medicare may cover a portion of a hospital stay, the remaining balance that the beneficiary is responsible for can be significant. A Medigap policy can help cover these out-of-pocket expenses, reducing the financial burden on individuals with Medicare.

The other options describe aspects that are not covered by Medigap. Medigap policies do not offer comprehensive coverage for all health costs, nor do they provide prescription drug coverage—which is covered through separate Medicare Part D plans—or long-term care insurance, which is typically not included in standard health insurance plans. Understanding the specific purpose of Medigap is essential for beneficiaries looking to manage their healthcare costs effectively.