Which term refers to a policy that supplements Medicare coverage?

Which term refers to a policy that supplements Medicare coverage?

• A. Medi-gap
• B. Tricare/ CHAMPUS
• C. CMS-1500
• D. Capitation

Answer: (A)

Medicare supplement policies, often called Medigap, are private plans that pay for costs Medicare doesn’t fully cover—such as deductibles, coinsurance, and copayments—so you have lower out-of-pocket expenses for services Medicare covers. The term Medi-gap is used to describe this type of policy. It works alongside Medicare Part A and Part B, but usually does not include prescription drug coverage, which would require a separate Part D plan.

Medicare supplement policies, often called Medigap, are private plans that pay for costs Medicare doesn’t fully cover—such as deductibles, coinsurance, and copayments—so you have lower out-of-pocket expenses for services Medicare covers. The term Medi-gap is used to describe this type of policy. It works alongside Medicare Part A and Part B, but usually does not include prescription drug coverage, which would require a separate Part D plan.