Super Committee Considering Cutting Medigap Plans

The super committee in charge of cutting $1.2Trillion in the next 10 years is looking to cut Medigap Plans or Medicare Supplement Plans.This would affect up to 10 million people enrolled in one of these plans.Medigap insurance plans provide additional coverage for claims,since Medicare only pays about 80% of the claims.Without this type of coverage many people would be exposed to substantial out of pocket costs. A Majority of the 10 million on these plans enroll in plans that have little or no deductibles or costsharing. If the committee cannot come to an agreement then it would trigger automatic spending cuts starting in 2013.

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