Medicare Supplement/Medigap Commonly Used Terms


Coinsurance - This is the percentage amount that you may be required to pay for your share of the costs for services after the deductibles.


Copayment - This is the dollar amount that you may be required to pay for your share of the costs for medical services or supplies, such as a doctors visit or prescription.


Deductible - This is the amount you pay for your health care and prescriptions before Original Medicare, your prescription drug plan or your other insurance will pay.


Guaranteed Issue Rights/Medigap Protection - The rights that you have when purchasing a Medicare Supplement policy through an insurance company.  For example, an insurance company cannot deny you a Medicare Supplement policy nor can they charge you more for a policy because of a past or present health problem.


Guaranteed Renewable - Insurance policies cannot be terminated by the insurance company for any reason other than failure to pay premiums, misinformation to the insurance company, or fraud.


Medicare SELECT - This is a type of Medigap policy that may require you to use hospitals and sometimes doctors within its network to be eligible for maximum benefits.


Open Enrollment Period - This is a one-time-only, 6 month period when you are able to purchase a Medigap policy without being denied for any past or present health conditions.


Pre-existing Condition - A heath condition that you had prior to the purchasing your new Medicare Supplement insurance policy.