Mr. Simon Davis was sure that a Medicare insurance plan would be the real solution to their problem of meeting health care expenses not covered by the original Medigap plan. His wife Mrs. Julia Davis however wanted a cautious approach and the selection of a quality Medigap supplement insurance company who would provide a real Medigap coverage.

Step 1: Analyze Your Medical Costs:- Analyze your current expenses for health care. Try to estimate future expenses. Medicare will pay certain expenses and the Medicare supplement insurance company will pay the remainder (for the most part). Medicare Part B (Doctor) Costs, Medicare Part B Deductible, Medicare Part A (Hospital) Costs, Medicare Part A Deductible, Medicare Part B Extra Charges, At Home Recovery, Foreign Travel Emergency, Skilled Nursing Home Costs, Prescription Medication, Blood Work, Preventive Care.

Charges for skilled nursing facility stays may be paid by Medicare if the facility is a Medicare-certified facility. To qualify for this benefit, you must have been hospitalized for at least three days and have been admitted to the nursing facility within 30 days of discharge from the hospital. The first 20 days are covered at 100 percent provided you are receiving skilled care. The next 80 days Medicare pays amounts more than $ 128.00 a day. Beyond the 100th day, Medicare pays nothing.

Under certain conditions, home health care is available for home bound beneficiaries. This coverage includes skilled nursing services, occupational therapy, and physical and speech therapy if provided by a Medicare-certified home health service and if determined to be medically necessary. If your physician establishes a care program that requires durable medical equipment, Medicare will pay 80 percent of the Medicare-approved cost of the equipment.

Medicare provides coverage for hospice care for patients certified as terminally ill. This benefit is divided into two 90-day hospice benefit periods and one 30-day benefit period. A subsequent extension also may be covered. You pay for the first three pints of blood and Medicare pays for any additional blood.

Medicare Medical Insurance – Medicare Part B (2010). Medicare covers physician services, outpatient hospital services, lab services, X-ray, radiation and therapy services, home health visits, physical therapy, speech pathology services, some forms of vaccinations, durable medical equipment, limited ambulance services, prosthetic devices, immune suppressive drugs for the first year following an organ transplant, and other medical supplies and equipment.

Here is a brief explanation of the various ways in which Medicare supplement insurance companies’ price insurance policies. Attained age rated Medicare supplements are less expensive at age 65, and the prices will rise as you get older. Issue age Medicare advantage plans charge a premium based on your age when you first purchase the Medicare policy, but the rate will not increase automatically as you get older.