Medigap changes 2014 ATTENTION Ohio seniors

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Medigap ReformObamacare and your Medicare supplement…

Oddly enough, Obamacare appears to have little to no affect on Medigap policies nationwide.

In fact, Medicare Supplements are not discussed in the ACA – Affordable Care Act.

There were a few changes to Medigap plans in June, 2010 but that was not connected to the PPACA enacted 3 mo’s earlier.  At that time Plan J was replaced with two new plans, M and N.

With that said, Part B of original Medicare, no matter how great it is, is not the same as most private health insurance plans.  People who are new to Medicare can often be surprised.  They are familiar with insurance plans that have a Maximum Out-of-Pocket.  Once they pay that amount, they do not have to pay anything else for the rest of the year, no matter what their medical bills might be.

Medicare B is different.  If your doctor agrees to accept Medicare as payment in full, Medicare will only pay 80% of the bill.  You are responsible for the additional 20%.  Previously, most people with insurance had a cap for catastrophic medical bills.  Medicare B has no cap.

If you want that ceiling on the amount you would have to pay, the only option you have is a Medicare Supplement insurance policy, also known as a Medigap.

Yes, major changes to Medicare Supplemental insurance have been proposed and considered by congress and the president as a way to hold costs down for Medicare.  There is a threat to the program as a whole.  Although the Medigap program is not threatened with extinction, there is a movement in congress to modify it so that Medicare beneficiaries are not able to buy an insurance policy that will pay their deductibles for them.