Short answer: Probably not.
Medicare coverage comes with deductibles and significant co-payments or coinsurance costs for many types of treatments, including hospitalizations. Typically, the deductible amounts are increased each year. If you’re not prepared to pay these expenses out of pocket, you may want to consider a Medigap policy (a supplemental medical insurance policy). Medigap insurance policies are sold by private health insurers. These policies are standardized and regulated by both state and federal law.
There are multiple Medigap plans, although not all are available in all states. These plans cover certain specified services but offer different combinations of coverages. Some cover all or part of your Medicare deductibles, co-payments, or coinsurance costs.
Keep in mind, Medigap policies do not cover long-term care, vision or dental, hearing aids, glasses, or private-duty nursing.
Below is the list of what each part of Medicare covers:
Medicare Part A (Hospital Insurance) helps cover:
- Inpatient care in hospitals
- Skilled nursing facility care
- Hospice care
- Home health care
Medicare Part B (Medical Insurance) helps cover:
- Services from doctors and other health care providers
- Outpatient care
- Home health care
- Durable medical equipment
- Many preventive services
Medicare Part C (Medicare Advantage):
- Includes all benefits and services covered under Part A and Part B
- Usually includes Medicare prescription drug coverage (Part D) as part of the plan.
- Run by Medicare-approved private insurance companies that follow rules set by Medicare.
- Plans have a yearly limit on your out-of-pocket costs for medical services.
- May include extra benefits and services that aren’t covered by Original Medicare, sometimes for an extra cost.
Medicare Part D (Medicare prescription drug coverage):
- Helps cover the cost of prescription drugs.
- Run by Medicare-approved drug plans that follow rules set by Medicare.
- May help lower your prescription drug costs and help protect against higher costs in the future.
Do not wait until you are faced with a health emergency to seek appropriate coverage. By that point, it may be too late. Your financial planner can help you determine what kind and how much coverage you need.
