Medicare Supplement - Common Terms

Medicare Supplement plans plug the Medicare holesthe other 20%.
so you do not have the out of pocket costs- Skilled Nursing Facility - (Medicare Part A) A
Original Medicare will leave you with. So let us talkmedical care facility used primarily for rehabilitation.
about some of the common terms you need toPatients are typically in a Skilled Nursing Facility
be aware of with Medicare and a Medicarewhen they are recuperating from an accident,
Supplement plan:illness or surgical procedure. Medicare typically
Common Terms:pays all costs except $137.50 per day. Medicare
- California Open Enrollment - (Unique to California)will not continue to pay for this service is the
the ability of a Medicare Supplement member toperson has a degenerative condition. In other
switch to another company each year on thewords, the patients condition should be improving,
month of their birthday. This is a guaranteed issueif not, the coverage is stopped and a long term
option. You cannot be denied the transfercare policy or medicaid is necessary to continue
because of health status.to pay for these services.
- Original Medicare - Run by the Federal- Medicare Part D - Medicare Prescription Drug
government and provides both Part A and Part BCoverage. Helps cover the cost of prescription
coverage.drugs. Must be purchased from a private
- Medicare Part A - is the hospital coverageinsurance company.
Medicare pays for. You are responsible for the- Part B Coinsurance - After the Part B deductible,
$1,100 deductible each benefit period (60 days)Medicare requires you to pay 20% of all Medicare
you enter a hospital.eligible expenses for physician, specialist,
- Medicare Part B - the out patient Medicareambulance and hospital outpatient services and
coverage for physician, specialist and surgerysupplies.
services. There is a $155 Part B annual deductible- Excess Charges - When your medical bill for
you will need to pay the beginning of eachPart B services exceeds the Medicare eligible
calender year when you see a physician.expense. For example; if the Medicare allowable
- Part B premium - All Medicare beneficiaries arecharge for a certain visit or procedure is $100.
required to pay for their Part B premium. In 2010Medicare Part B pays $80 and the Medicare
the monthly premium is $96.40. If your annualSupplement pays the remaining $20, if the
income is higher than $85,000 your premiumMedicare Supplement pays for Excess Charges.
increases to $110.50. (other rules apply).Some plans do not cover this extra charge.
- Assignment - an arrangement whereby a- Initial Enrollment Period - (IEP) Your enrollment is
physician or hospital agrees to accept theguaranteed if you apply for coverage before or
Medicare-approved amount as full payment forwithin six months of enrolling in Medicare Part B.
services and supplies covered under Part B.The terms above are some of the most
Medicare usually pays 80% of the approvedcommon terms pertaining to a Medicare
amount directly to the physician after theSupplement plan and you should become familiar
beneficiary satisfies the Part B deductible ofwith these terms when purchasing a plan. Please
$155.00. The Medicare Supplement member payscontact a Medicare specialist for more information.