Medigap Policies in Nevada

Medicare is federal health insurance program meant to be used primarily by people aged 65 and older. Medicare comes in four parts, referred to as A, B, C and D. These four part of Medicare come with a number of deductibles, coinsurance costs and co-pays, leading people to purchase Medicare supplements, often called Medigap. Medigap plans are standardized and offer the same benefits no matter which company you buy them from. Insurance companies in Nevada, which offer Medigap plans, are regulated by the state Division of Insurance, part of the Nevada Department of Business and Industry.

Available Plans

• As of 2011, Medicare users in Nevada can choose from Medigap Plans A through D, F, G, and L through N. Plans E, H, I and J, which were sold in Nevada in 2009, were no longer available in 2010. All companies which sell Medigap in Nevada must sell Plan A, the most basic plan, although they do not have to sell all Medigap policies.

Premium Types

• Medigap premiums in Nevada are decided by the individual insurance companies, although the benefits for each plan stay the same no matter from who you buy them. Nevada Medigap companies can set rates according to three methods. One is called the no-age rating, where the company charges everyone who buys the same plan the same premium, without regard to age. Another is the attained age rating, where premiums increase the older you get. The third is the issue age policy, where the initial premium amount is based on age but does not increase as you get older, except for an insurance company's overall claims experience.

Medigap Benefits

• All Medigap policies in Nevada have the same basic benefits. Each plan then has some of its own additional benefits. The basics include the coinsurance for Part A hospitalizations and all, or part, of the coinsurance for Part B services. Basic benefits also cover an additional 365 of hospital benefits after regular Medicare ends, Part A coinsurance for hospice and the reasonable costs of the first three pints of blood per year. Plans B through N include coverage of the Part A annual deductible. C through F, M and N add benefits for medical emergencies which happen outside the U.S.

High-deductible and Cost-sharing Plans

• Plan F can be bought as both the regular plan and in a high-deductible form. The alternate Plan F has an annual deductible of $2,000, which must be met before benefit coverage begins. This allows the monthly premiums for Plan F to be lower than the regular plan's. Plans K and L are cost-sharing plans. Plan K covers 50 percent of skilled nursing facility coinsurance, the Part A deductible and the basic benefits, while Plan L covers 75 percent. Plan K has an annual out-of-pocket limit of $4,620, while Plan L's is half that at $2,310.