Medicare Supplement Plan L

Medicare Supplement Plan L is one of the ten standardized options offered in most states that can help cover certain Medicare out-of-pocket expenses, including copays or deductibles. Plan L offers a marginally lower premium rate than what might be paid for more comprehensive options, with the insurance carrier expected to pay 75% of covered medical expenses.

Coverage for Plan L

Medicare Supplement Plan L provides 75% coverage for an assortment of benefits:

  • Part A hospice care coinsurance or copayment coverage
  • Medicare Part B coinsurance or copayment coverage
  • First three pints of blood used for a covered medical procedure
  • Skilled nursing facility care coinsurance coverage

Despite the partial coverage for the previous benefits, Plan L does offer full coverage for Medicare Part A coinsurance. That’s a savings of $1,408 in 2020.

 It also covers hospital costs for up to an additional year after Medicare’s benefits are used up.

Medicare Supplement Plan L out-of-pocket costs

While Medicare Supplement Plan L does offer coverage for certain medical expenses, it does come with out-of-pocket costs that require you to pay the remaining 25% of costs not covered by Plan L. These out-of-pocket costs include:

  • Medicare Part B deductible
  • Medicare Part B excess charges
  • Foreign travel emergency

Medicare Supplement Plan L also features an annual out-of-pocket maximum limit of $2,940 (in 2020).

Out-of-pocket maximum cap protection for Medicare Supplement Plan L

Medicare sets an annual limit for a maximum cap as a covered benefit. Once the yearly out-of-pocket limit is met and you meet the Medicare Plan B deductible, Plan L then has to pay your Medicare-related costs in full for the remainder of the calendar year. For 2020, Medicare set the limit to $2,940.

If paying a lower premium while still having some of your out-of-pocket Medicare expenses covered seems like a good deal, a licensed Medicare agent at Bobby Brock Insurance can help you get started.