What is the purpose of Medigap insurance?

Medigap insurance, also known as Medicare Supplement Insurance, is specifically designed to assist beneficiaries with out-of-pocket costs that Original Medicare (Parts A and B) does not fully cover. These out-of-pocket expenses can include deductibles, copayments, and coinsurance, which can significantly add up for individuals relying solely on Medicare. Medigap policies help fill these gaps, offering added financial protection and making healthcare more affordable for beneficiaries.

Each Medigap plan offers different levels of coverage, which can vary by plan type, but the primary function remains consistent: to complement Original Medicare by covering expenses that leave beneficiaries with financial liabilities. This ensures that individuals can access necessary medical services without facing overwhelming costs, thus promoting better healthcare outcomes.

Options referencing full coverage for hospital stays, prescription drug coverage, or alternative therapies pertain to different aspects of healthcare and are not the core purpose of Medigap insurance, which is strictly to supplement the coverage provided by Original Medicare.