Medicare Supplement Insurance Plan M, also known as Medigap Plan M, is one of the standardized Medicare supplement insurance plans available to help cover costs that Original Medicare doesn't fully pay for. This comprehensive guide will help you understand what Plan M offers, its costs, and whether it might be the right choice for your healthcare needs.
What Medigap Plan M Covers
Medigap Plan M provides significant coverage for various healthcare expenses, including:
- Medicare Part A coinsurance and hospital costs
- Medicare Part A hospice care coinsurance or copayment
- Medicare Part B coinsurance or copayment
- First three pints of blood for medical procedures
- Skilled nursing facility care coinsurance
- 50% of the Medicare Part A deductible
- Foreign travel emergency coverage (up to plan limits)
It's important to note that Plan M covers only half of the Medicare Part A deductible, making it unique among Medigap plans. This partial coverage contributes to its generally lower premium costs compared to some other Medigap plans.
Cost Structure and Out-of-Pocket Expenses
The cost of Medigap Plan M varies depending on several factors:
- Your location
- The insurance company you choose
- Your age when enrolling
- Whether the plan uses community-rated, issue-age-rated, or attained-age-rated pricing
While Plan M typically offers lower monthly premiums than some other Medigap plans, you'll need to be prepared for certain out-of-pocket expenses, including:
- The Medicare Part B deductible
- Medicare Part B excess charges
- 50% of the Medicare Part A deductible
- Any services not covered by Original Medicare
Who Should Consider Medigap Plan M?
Plan M might be an excellent choice for beneficiaries who:
- Want lower monthly premiums in exchange for sharing some costs
- Are relatively healthy and don't anticipate frequent hospitalizations
- Plan to travel internationally and want foreign travel emergency coverage
- Are comfortable paying half of the Medicare Part A deductible
- Live in states where providers typically don't charge Medicare Part B excess charges
Important Limitations and Considerations
Before choosing Medigap Plan M, consider these key points:
- It doesn't cover the Medicare Part B deductible
- It doesn't cover Part B excess charges
- You must have Original Medicare to be eligible
- It can't be used with Medicare Advantage plans
- The plan may not be available in all areas
Frequently Asked Questions
What benefits does Medigap Plan M cover compared to Original Medicare?
Medigap Plan M supplements Original Medicare by covering various costs including Medicare Part A coinsurance, Part B coinsurance, skilled nursing facility care coinsurance, and 50% of the Part A deductible. It also provides foreign travel emergency coverage, which Original Medicare doesn't offer.
How much does Medigap Plan M cost and what out-of-pocket expenses will I still have?
Medigap Plan M costs vary by location and insurer but typically offers lower premiums than many other Medigap plans. You'll still be responsible for the Medicare Part B deductible, Part B excess charges, and 50% of the Part A deductible.
Who is the best candidate for choosing Medigap Plan M over other Medigap plans?
Plan M is best suited for beneficiaries who want lower monthly premiums and are willing to share some costs. It's particularly good for healthy individuals who don't expect frequent hospitalizations and those who want foreign travel emergency coverage.
Does Medigap Plan M cover the Medicare Part B deductible or excess charges?
No, Medigap Plan M does not cover either the Medicare Part B deductible or excess charges. Beneficiaries must pay these costs out of pocket.
Can Medigap Plan M be used with Medicare Advantage plans or only with Original Medicare?
Medigap Plan M can only be used with Original Medicare. It cannot be used in conjunction with Medicare Advantage plans, as these are separate coverage options that cannot be combined.