Illinois Medigap Plans IL Medicare Supplements

Illinois Medigap Plans are Standardized Medicare Supplements

Illinois Medicare Supplement insurance carriers are required to adhere to state and federal laws that are designed to protect consumers. Medigap plans must be clearly identified as Medicare Supplement Insurance. Each standardized Medicare Plan is identified by letters A through N and must offer the same identical benefits as all other plans with the same letter. The only variance is the monthly premium.

NOTE: Medigap, Medicare Supplements and Medicare Plans are all names used interchangeably for supplemental insurance that fill the gaps in Original Medicare coverage.

Each Medicare supplement insurance policy sold in Illinois offers the basic benefits of Plan A. All other lettered plans after A feature additional levels of coverage. This allows you to choose the amount of liability coverage you need.

Each insurance company decides which policies it wants to sell, although state laws might affect which ones they offer. Insurance companies that sell Medicare supplemental insurance:

• Are not required to offer every Medigap plan
• Must offer Medigap Plan A (basic benefits)
• Must also offer Plan C or Plan F

For more information, visit the Illinois Department of Insurance website at http://insurance.illinois.gov/.

Why is Medicare Supplement Plan F Favored in Illinois?

Medicare Plan F costs more than all other Medigap plans, yet it is the most popular among Illinois seniors. In fact, more than 50% of people with supplemental coverage buy Plan F. The top reason is that it covers all gaps in Original Medicare, offering peace-of-mind and convenience.

IMPORTANT: If you need protection from high medical bills, you must buy a Medicare Supplement Plan F policy before January 1, 2020. Congress voted and supplement insurance carriers will not be able to offer these polices after December 31, 2019.

RELATED: Medicare Plan F: What Does this Medicare Supplement Offer?

What About the AARP Medicare Supplement: Is it the Best Illinois Medigap Plan?

Best is a relative term. To be sure, AARP sell more Medicare Supplements than any other insurance carrier. That said, AARP Medigap Plans, underwritten by United Healthcare, have the same benefits and features as all other standardized supplements. The real difference is the monthly premium, how often rates increase, and the financial stability of the insurance carrier.

In our experience, AARP Medicare Supplement premiums are frequently more than competing carrier in the same area. However, in many areas UHC has a competitive advantage with their Medicare SELECT plans. Ask your agent about Medicare SELECT options in your area.

AARP sells a range of Medicare supplements, however, Plan F, Plan G and Plan N are the most popular. You can quickly see the coverage differences between these plans using the comparison chart below.

Illinois Medicare Supplement Plans Comparison Chart

The following Medicare Supplement Plans Comparison Chart offers a quick look at the benefits provided by each Medigap policies.

Medigap Benefits	A	B	C	D	F*	G	K	L	M	N
Medicare Part A Coinsurance and hospital costs up to an additional 365 days after Medicare benefifits are used up	Yes	Yes	Yes	Yes	Yes	Yes	Yes	Yes	Yes	Yes
Medicare Part B Coinsurance or Copayment	Yes	Yes	Yes	Yes	Yes	Yes	50%	75%	Yes	Yes**
Blood (First 3 Pints)	Yes	Yes	Yes	Yes	Yes	Yes	50%	75%	Yes	Yes
Part A Hospice Care Coinsurance or Copayment	Yes	Yes	Yes	Yes	Yes	Yes	50%	75%	Yes	Yes
Skilled Nursing Facility Care Coinsurance	No	No	Yes	Yes	Yes	Yes	50%	75%	Yes	Yes
Medicare Part A Deductible	No	Yes	Yes	Yes	Yes	Yes	50%	75%	50%	Yes
Medicare Part B Deductible	No	No	Yes	No	Yes	No	No	No	No	No
Medicare Part B Excess Charges	No	No	No	No	Yes	Yes	No	No	No	No
Foreign Travel Emergency (Up to Plan Limits)	No	No	Yes	Yes	Yes	Yes	No	No	Yes	Yes
Out-of-Pocket Limit***	None	None	None	None	None	None	$5,240	$2,620	None	None

^* Medicare Plan F also offers a high-deductible plan. If you choose this option, this means you must pay for Medicare-covered costs up to the deductible amount of $2,240 before your Medigap plan pays anything.

^** Medicare Plan N pays 100% of the Part B coinsurance, except for a copayment of up to $20 for some office visits and up to $50 copayment for emergency room visits that don't result in an inpatient admission.

^*** After you meet your out-of-pocket yearly limit and your yearly Part B deductible, the Medigap plan pays 100% of covered services for the rest of the calendar year.

Medigap vs Medicare Advantage

Still wondering if a Medicare Supplement is the right way to go? Considering Medicare Advantage to cut costs? For many seniors in Illinois it's a difficult decision. Here are a couple things to consider.

First, understand the difference between Medigap and Medicare Advantage plans available in Illinois. A Medigap plan fills gaps in your Original Medicare benefits. A Medicare Advantage plan may have a similar effect, but it replaces your Original Medicare benefits with managed care, reducing your options.

Second, if you need the most choices and flexibility, Original Medicare combined with a Medicare Supplement and a Illinois Medicare Part D plan is the best coverage you can get.

RELATED: Medicare Advantage vs. Medigap: Which Is Best?