Maryland Life and Health Insurance License Practice Exam

What type of coverage is addressed by Medicare Supplemental Insurance?

1. Physical therapy coverage

2. Medicare in-hospital deductible

3. Medications covered by Medicare Part B

4. Long-term care insurance

The correct answer is: Medicare in-hospital deductible

Medicare Supplemental Insurance, commonly known as Medigap, is specifically designed to cover various out-of-pocket expenses that Medicare does not fully pay for. One of the primary purposes of Medigap policies is to cover the Medicare in-hospital deductible. This deductible can represent a significant expense for beneficiaries when they are admitted to the hospital, as Medicare only covers a portion of the hospital fees, leaving the patient responsible for the deductible amount. Medigap policies can help cover these costs, providing financial protection and ensuring that beneficiaries have a more manageable experience when facing hospital stays. While other options may relate to aspects of health coverage, they do not directly address the specific role of Medigap in covering deductibles and other gaps that Medicare leaves open.