Mutual of Omaha Medicare supplement insurance plans: What to know
Mutual of Omaha is a private insurance company that administers Medicare supplement insurance plans. Also known as Medigap, these plans can help cover out-of-pocket expenses remaining from Original Medicare.
Mutual of Omaha offers various Medigap plans in most states, so people may choose the option that best suits their budget and priorities.
This article discusses Medigap plans in general and which plans Mutual of Omaha offers.
It then examines how the plans work with other Medicare programs, their benefits, costs, and the best time to buy them.
Lastly, it lists other companies that sell Medigap.
Glossary of Medicare terms
We may use a few terms in this article that can be helpful to understand when selecting the best insurance plan:
Out-of-pocket costs: An out-of-pocket cost is the amount a person must pay for medical care when Medicare does not pay the total cost or offer coverage. These costs can include deductibles, coinsurance, copayments, and premiums.
Deductible: This is an annual amount a person must spend out of pocket within a certain period before an insurer starts to fund their treatments.
Coinsurance: This is the percentage of treatment costs that a person must self-fund. For Medicare Part B, this is 20%.
Copayment: This is a fixed dollar amount a person with insurance pays when receiving certain treatments. For Medicare, this usually applies to prescription drugs.
About Medigap plans
Original Medicare comprises Part A, which relates to inpatient hospital insurance, and Part B, which relates to outpatient medical insurance. While it covers a large part of healthcare costs, a person must pay deductibles, copays, coinsurance, and sometimes excess charges. Medigap plans help fill this coverage gap by paying some or all of these expenses.
Medicare currently offers 10 different Medigap plans with varying benefits. These plans include Plans A, B, C, D, F, G, K, L, M, and N.
Each Medigap plan offers standardized benefits. For example, Plan G in one state has the same benefits as Plan G in another.
The only exceptions to this rule are Medigap policies in Massachusetts, Wisconsin, and Minnesota, as these are standardized differently.
Once a person buys a Medigap plan, the company guarantees they may renew it every year. In other words, if someone develops additional health problems later, the company administering their plan cannot cancel it.
Medicare resources
For more resources to help guide you through the complex world of medical insurance, visit our Medicare hub.
Mutual of Omaha Medigap plans
Mutual of Omaha is a well-known insurance company that has existed since 1909. It sells a wide range of policies, including Medigap.
Of the 10 different Medigap policies, Mutual of Omaha offers Plans A, B, C, D, F, G, M, and Plan N. It also offers Plans F and G as high-deductible policies.
The company sells plans in most U.S. states, but plan options in each state may vary. A person can use this online tool to check if plans are available in their area.
Medigap with other programs
Medigap only works with Original Medicare. It does not work with Medicare Advantage, the alternative to Original Medicare, which provides parts A and B benefits and often more.
People also need to note that Medigap plans themselves do not provide coverage for medication.
A person with Original Medicare who may need coverage for prescribed drugs may wish to consider buying a plan with Medicare Part D, which relates to prescription drug coverage.
Medigap benefits
Medigap plans provide considerable benefits.
All of them pay Part A hospitalization coinsurance for an extra 365 days beyond what Original Medicare covers.
Some Medigap plans cover 50% to 75% of Part B coinsurance, Part A hospice care, and the first 3 pints of blood. Other plans cover 100% of these costs.
Certain Medigap plans pay the Part A deductible, Part B deductible, and skilled nursing facility coinsurance.
Other perks of some plans include 80% of foreign travel expenses and a yearly cap on out-of-pocket costs.
Medigap costs
Medigap plans have a monthly premium, which is the only out-of-pocket cost.
The premium for every plan varies among the private companies that administer them. For example, Plan G from one company may cost more than Plan G from another.
A person with a Medigap plan must also pay their Part B monthly premium, which is $185 in 2025. This means they will have two Medicare premiums instead of one.
Some people feel that Medigap plans offer peace of mind because they cover substantially more healthcare costs than Original Medicare alone.
As it is impossible for someone to predict what medical care they may need in the future, some individuals buy a Medigap policy to offset large, unexpected medical expenses.
When to enroll in Medigap
To get lower prices and more choices, the best time to enroll in a Medigap plan is during the 6-month Medigap open enrollment period. This begins the month someone who is 65 or older enrolls in Part B.
If someone wishes to enroll in a plan after this time, they have no guarantee that a company will sell them one. Additionally, the company may also exclude preexisting health conditions.
Other Medigap companies
Mutual of Omaha is not the only private company that sells Medigap plans. Some of the other options include:
Blue Cross and Blue Shield
Aetna
Cigna
Anthem
Humana
Continental Life
United American
Manhattan Life
Transamerica
The available plans vary from area to area. A person may use Medicare’s search tool to see the Medigap choices available within their ZIP code.
Summary
Mutual of Omaha Medicare provides Medigap plans, which help pay out-of-pocket costs of Original Medicare, such as copays and coinsurance.
Aside from these benefits, some plans cover a large percentage of healthcare expenses that a person may encounter when traveling in a foreign country.
The only out-of-pocket cost of Medigap plans is the monthly premium. Because this varies among the companies that offer them, someone may wish to compare prices before buying.
People with a Medigap plan have two monthly premiums because they also must pay the Part B premium of Original Medicare. This means their expected healthcare costs could be a little higher, but due to the additional coverage, their unexpected expenses may be substantially lower.
View the original article on Medical News Today
