UPDATED Sept. 22, 2019. Medicare Supplement Plan D, also known as Medigap Plan D, covers all Medicare ‘gaps’ except for Medicare Part B Deductible and Medicare Part B Excess Charges. Just as with all Medigap plans, the Medicare Supplement Plan D is standardized, i.e., plan’s benefits from one insurance company are identical with those from any other company. However, Plan D premiums will significantly vary.
Only selected Medicare Supplement insurance companies are offering Medicare Supplement Plan D.
Medicare Supplement Plan D benefits include:
- Medicare Part A coinsurance – additional 365 days of hospitalization coverage.
- Medicare Part B coinsurance (usually 20% of outpatient costs) or copayment (hospital outpatient services).
- Blood: The first 3 pints of blood each year.
- Hospice Care: Coinsurance/copayment (Part A).
- Skilled Nursing coinsurance (20% that Medicare does not pay for).
- Part A Deductible – $1,364 for each benefit period in the year 2019.
- Medicare Part B Excess Charges: the difference between what the doctor or provider charges versus the amount that Medicare will pay.
- Foreign Travel Emergency
Medicare Supplement Plan D benefits do NOT include:
- Part B Deductible – $185 per year in the year 2019.
- Medicare Part B Excess Charges, which is the amount that a doctor may charge above the Medicare-approved amount.
When is Medigap Plan D the right choice?
Medicare Supplement Plan D is identical to Medigap Plan C, with the exception that it does not cover Medicare Part B deductible. As long as the difference between plan C and plan D premiums exceeds the Part B deductible, it makes the most sense to go with Plan D.
Historically, annual premium increases of Medigap Plan C are higher versus Medicare Supplement Plan D. One of the reasons for this is that Plan D is NOT on the list of Medigap plans that may be purchased under Guaranteed Issue Rights. Therefore, people having a Plan D are in general healthier in comparison to those people that have a Plan C.
Medicare Supplement Plan D is identical to Medigap Plan G, with the exception that it does not include Medicare Part B excess charges. In states where Excess Charges are illegal, such as Pennsylvania and Ohio, there is no reason to buy the more expensive Plan G; instead, Plan D will suit your needs. Since 99% of doctors accept Medicare Assignments, the need to cover Excess Charges is very small even in States where they are acceptable.
Use Medigap Plan D (if available) when you want to save money:
- On Medigap Plan G by removing its Extra Charge coverage.
- On Medigap Plan C when the savings in premium between Plans C and D justifies removing Medicare Part B deductible from the benefits.
As of 2020, Medicare Supplement plans will no longer sell NEW Medigap Plan C. It will make Medicare Supplement Plan D even more attractive choice.
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Let Liberty Medicare Help you Choose
With 10 Standardized Medicare Supplement plans made available, it becomes a difficult task when selecting the ideal plan. Not all Medigap providers carry all of these plans, and the difference in premiums for the same type of plan among different vendors may be quite substantial.
The experts at Liberty Medicare will work to your advantage and find the Medicare Supplement plan that is best for your needs and budget. All of our services are absolutely free to you. Learn more about all of the benefits of working with Liberty Medicare.
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