Medigap Policy Changes

Medigap policies have the right to change the price of the policy every year due to rising health care costs and inflation. Your Medigap Policy can also change anytime there are changes in state or federal Laws that affect the policy's coverage. For example, new changes are being implemented over the next few years related to the 2010 Patient Protection and Affordable Care Act, (Obamacare). Every state enacts different types of rules and regulations as well and these may also cause changes in your Medigap insurance. Every fall your insurance company will send you a plan update that will tell you what changes have occurred during the last year.

In 2011, These Basic Policy Changes Will Occur Related to Medigap Plans

  • Original Medicare Part A, Hospice co-insurance will be covered by all plans.
  • Plan K will cover 50% of basic benefit costs
  • Plan L will cover 75% of basic benefit costs
  • Plans K, L and N will require you to pay a portion of Part B co-insurance and co-payments. All other plans pay the co-insurance at 100%.
  • Plans D and G purchased after June 1, 2010 are structured differently that the earlier plans.
  • Plans E, H, J and I are no longer available.

The changes that occur in plans may extend your rights and coverage but the changes cannot remove plan benefits that existed when you signed up for your plan. As long as you continue to pay your premiums, you should not lose coverage due to policy changes.

Auntie Lou says, "The devil is in the details, read all the small print every fall to see what has really changed in your Medigap plan."