As many seniors are nearing the milestone age of 65 there are a lot Medicare Insurance questions about Medigap policies. One of these questions is what is the difference between a standard and preferred Medigap policy. It’s actually pretty simple.
Standard & Preferred Medigap
As you may know by know, Medigap policies supplement Original Medicare‘s coverage by covering things like coinsurance, deductibles, and excess charges. But you may not have heard of standard and preferred Medigap. First thing to know is both must cover the same standard benefits. I know what you’re thinking, preferred sounds better, but it also sounds like it’s more expensive. Wrong. Let me explain:
- Preferred Medigap: Is when you enroll in your initial Medigap enrollment period or typically when you enroll in a special Medigap enrollment period*, when preexisting conditions are not factored in. You have another opportunity, as well. If you miss the initial period and you the insurance company deems you are in good health they may allow you to enroll in a preferred Medigap policy. For the same coverage, the preferred premium is much lower than the Standard plan.
- Standard Medigap: This is when you enroll outside of the initial enrollment period. These plans are much more difficult to qualify for due to medical underwriting.
*Guaranteed issuance into Medigap is typically (not always, though) allowed even after your initial period if you fall under one of the special circumstances such as your retirement plan ends.
Medigap Open Enrollment
If you have made the personal decision to go for Medigap, go for it when you are initially eligible. This is the first six months in which you qualify for Medicare Part B. That way you have a lower monthly premium than if you wait, and remember you if you wait you may still be turned away.
For further questions about enrolling in a Medigap plan call 800-930-7956 or contact Senior65.com.