How to Compare Medicare Supplemental Insurance Coverage

Medicare supplemental plans, or Medigap policies, are a way to relieve some of the burden of extraneous Medicare costs. However, if you don't do your homework before purchasing a plan, you may make your burden worse. Comparing Medigap coverage is your first step in enrollment.

Online

• Your first stop for comparing Medigap plans should be the official Medicare website (see References). Medicare has a plan finder tool that allows you to input information about your health status and where you live. It then gives you a list of Medigap plans available in your area. You will then have the option to compare the plans side-by-side.

On the Phone

• Call more than one company offering the Medigap plan you are interested in. You will want to ask pointed questions, and the phone call is an opportunity to rate the company's customer service for yourself.

What to Ask

• All Medigaps must cover the same services, so you do not need to ask about this, however, you do want to know how much it will cost. How much does the plan cost, and what is the cost based on? Then ask how the premium will change as you get older. Plans available include community-rated plans in which everyone's rates go up equally, issue-age-rated plans in which your premium is based on your age when you purchased the plan, and attained-age-rated in which your premium increases with age. Finally, ask if you will be subject to any pre-existing-condition waiting period.