What does Medicare Supplement Insurance (Medigap) typically cover?

Medicare Supplement Insurance, commonly known as Medigap, is designed to cover the healthcare costs that are not addressed by Original Medicare, which includes Parts A and B. These gaps can encompass various out-of-pocket expenses such as deductibles, copayments, and coinsurance that beneficiaries are responsible for when they use healthcare services. Medigap plans effectively help to reduce the financial burden on individuals by covering these additional costs.

While some may think that Medigap covers all healthcare costs under Medicare or solely prescription drug costs, those interpretations are inaccurate. Medigap does not extend to all healthcare expenses and is not intended for prescription drug coverage, which is provided under a separate program known as Medicare Part D. Furthermore, Medigap does not cover long-term care expenses, which are not part of the Medicare program. Therefore, the most accurate understanding of Medigap is that it fills the financial gaps left by Medicare itself.