Tennessee Medigap Policies

Medigap policies can help individuals with Medicare cover additional health care costs. Medigap can offer coverage of deductibles, coinsurance and extra benefits. Medigap, which is supplemental insurance, is sold by private companies.

Available Plans

• In Tennessee, over 60 companies sell Medigap, including AARP Health Care Options, Humana Insurance Company, Pyramid Life Insurance Company and State Farm, as of August 2010.

Pricing Methods

• The majority of plans in Tennessee have an attained-age pricing method. This means that the Medigap premium will increase as the beneficiary ages. The other Medigaps are issue-age rated. These plans base the premium on the age of the beneficiary when he signed up for Medigap, with no increases.

Purchasing Rights

• According to the federal law which Tennessee has elected not to amend, only those age 65 and older have the guaranteed right to purchase a Medigap plan. Once someone 65 or older becomes Medicare-eligible and enrolls in Part B, he has three months to enroll in Medigap. If he loses qualified health coverage, he has 63 days to enroll in a Medigap. The Medigap cannot deny enrollment due to health reasons and cannot subject the beneficiary to a preexisting condition waiting period. Those under 65 can still purchase Medigap policies, but they are not guaranteed the right. They may be subject to higher prices and waiting periods, as of August 2010.