Health & Benefits

Medicare supplement insurance fills the gaps between Medicare and someone’s out-of-pocket costs. It is often called Medigap insurance. These policies only pay for health care services that are medically necessary.

Medigap policies are sold by private insurance companies. The Illinois Department of Insurance (DOI) has a list of companies that sell Medigap. 

There are special rules regulating Medigap. Insurance companies must ensure that buyers carry only one policy. A person can buy Medigap if they have Medicare Parts A and B. If they have Medicare Advantage (also known as Medicare Part C, or Managed Medicare), they may not obtain Medigap.

Illinois residents between 65 and 75 years old have an opportunity to enroll in Medigap every year. The enrollment period in Illinois starts on a person’s birthday and lasts for 45 days.

If a person has Medicare and Medigap, they should not need any other medical insurance. You will need to pay a monthly premium for Medigap.

These policies do not include drug coverage for people in Medicare Part D. To get coverage for drugs, a person will need to enroll in a Medicare Part D prescription drug plan, if they do not have one yet.

The Medicare website has a tool to help people compare policies. It helps them compare their needs with the coverage provided.

There are 10 standardized Medigap plans. Those plans are labeled A through N. Some plans are no longer sold. In Illinois, it is illegal to sell anything other than those 10 Medigap plans.

People should study the policies paragraph by paragraph and make sure they provide the coverage they want. All companies must offer the same benefits. The only difference between the companies is cost. It’s important to always ask for an explanation of the terms and coverage.

The Senior Health Insurance Program (SHIP) is a free counseling service, and it has many free resources to help you make the best insurance choices. It helps senior citizens who have questions about health insurance, including:

• Medicare,
• Medicare Supplement Insurance,
• Medicare Advantage Plans,
• Prescription Drug Coverage, and
• Long-Term Care Insurance.

The Illinois Department of Insurance has a website where people can ask questions or file complaints. The Illinois Department on Aging also has additional information about Medicare and Long Term Care Insurance Companies.

Medicare Interactive is a nonprofit that provides resources on understanding Medicare.