3 Tips for Choosing a Medigap Plan in New Jersey

Medigap is Medicare Supplement Insurance that fills in the “gaps” in Original Medicare. You have to buy and pay for Medigap on your own, but it’s well worth the price for many people. These are the years when you’re most likely to need medical care, so having complete coverage is important for your health and your pocketbook. 
If you are considering adding supplemental coverage to your Medicare health insurance in NJ, here are some tips to follow. 

1. Understand Your Coverage Needs 

There is no one-size-fits-all Medicare supplement plan, so the first thing to do is understand your coverage needs. Medigap plans can help cover copayments, coinsurance and deductibles so that you pay less out of pocket. To compare your choices, visit medicare.gov. 

Some questions to ask yourself are: 

- Do I want basic coverage or extra coverage?
​- Are there specific out-of-pocket costs I want help with?
- Do I want coverage when traveling overseas? 
- Do I want a high-deductible plan? 

2. Determine Your Budget 

The next thing to consider is what you are comfortable spending each month. Medigap plans are priced differently, though most come with a monthly premium. Most insurance companies use one of these three pricing methods: 

- Issue-age rated. Premiums are based on your current age and will not increase as you get older.
- Community-rated. All plan members pay the same premium regardless of their age.
- Attained-age rated. Monthly premiums are based on your current age, but your premiums rise as you get older. 

3. Choose Your Plan Early 

Signing up for Medigap during your Medicare Supplement Open Enrollment Period gives you the most options. This time period starts on the first month you turn 65 and are enrolled in Medicare Part B. The reasons why you’ll have the best options are because: 

- You have “guaranteed-issue rights,” which essentially means you can’t be turned down for coverage. 
- You can’t be charged more due to pre-existing conditions.
- The insurance companies can’t require medical underwriting. 
- Once this period is over, you can still get supplemental insurance, but it may not be as easy. Insurance companies can refuse you coverage or charge more for pre-existing conditions. 

Find the Best Medigap Plan for You! 
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Need Medicare help in New Jersey? Contact Leonard Financial Solutions for personalized assistance with Medicare and Medigap insurance.