What type of health plans offers coverage for excess hospital charges under Medicare?

Medicare Supplement plans, often referred to as Medigap, are specifically designed to help cover additional costs that Original Medicare (Parts A and B) does not fully pay. This includes excess hospital charges, which can arise when a healthcare provider charges more than the Medicare-approved amount for services provided.

Unlike Medicare Advantage plans, which provide an alternative way for beneficiaries to receive their Medicare benefits, or Health Maintenance Organizations (HMOs), which typically offer a network of providers at a lower cost, Medicare Supplement plans fill in the gaps by providing additional coverage for out-of-pocket expenses.

Additionally, while Medicare Parts A and B cover hospital and medical services, they do not cover these excess charges unless specific conditions are met. Thus, for beneficiaries looking to cover those extra costs, Medicare Supplement plans are the appropriate choice, making them essential for comprehensive health coverage alongside Medicare.