Does the government regulate what medigap insurance policies cover?
The federal government regulates what medigap insurance policies cover. Only 12 types of policies, known as Plans A through L, are offered. Every policy issued within any one of these 12 plans provides the same coverage as every other policy within that plan, no matter which insurance company issues it. Still, other terms besides coverage — such as when the policy will begin paying, and how the insurance company goes about raising premiums over the years — differ from policy to policy. It’s worth spending the time to compare the plans. And once the person you’re caring for understands which plan might be best, decisions about those other terms require careful attention to the policy’s fine print.
The federal government regulates what medigap insurance policies cover. As of June 1, 2010, only 10 types of policies — in what are known as Plans A through D, Plans F through G, and Plans K through N — are offered. (Policies in Plans E, H, I, and J were sold before June 1, 2010, and may be kept by those who already have them.) Every policy issued within any one of these 12 plans provides the same coverage as every other policy within that plan, no matter which insurance company issues it. Other terms besides coverage — such as premiums, when the policy will begin paying benefits, and how the insurance company goes about raising premiums over the years — differ from policy to policy. It’s worth spending the time to compare the plans. And once you understand which plan might be best for you, decisions about those other terms require careful attention to the policy’s fine print.
