Before Medicare Advantage became an available option to those 65 or older, Medigap insurance also called supplemental Medicare insurance, was a near necessity. That said, nowadays, some Medicare Advantage plans are actually priced more competitively than some Medicare supplement plans. So with this knowledge you may now be asking yourself what are the differences between Medigap insurance and Medicare Advantage that you need to know? We’ve listed some here for you to take a look at.
Dental, Vision, and Prescription Care
Medicare Advantage vs. Medigap Insurance: Many Medicare Advantage programs include vision, dental, and prescription coverage. Medigap Insurance plans do not cover these benefits.
Available Doctors
Medicare Advantage vs. Medigap Insurance: Medicare Advantage plans are offered through a national network of doctors. Medigap plans allow you to see approved doctors within original Medicare.
Out-of-Pocket Costs
Medicare Advantage vs. Medigap Insurance: Medicare Advantage often includes a cap for out-of-pocket costs. Medigap insurance does not.
Average Costs
The average costs in 2011 for a Medicare Advantage plan ranges by plan and state to state from $0 to $405.10 per month (on top of Medicare Part B premiums)*. Most Medicare Advantage plans also require a co-payment. The cost of Medigap insurance on the other hand ranges even more significantly based on the plan and the state you live in.
*Source: “Costs & Benefits of Medicare Advantage Plans.”California Health Advocates – Medicare: Policy, Advocacy, Education. California Health Advocates, 29 Nov. 2010. Web. 18 Jul 2011. http://www.cahealthadvocates.org/advantage/costs-benefits.html.
