How Do I Spot Illegal Practices When I Buy A Medigap Policy?
While there is no sure fire way to know if a company is bad, there are a few things that can alert you to a possible problem. If a sales rep or insurance agent tries to convince you that you need a Medigap policy when you have a Medicare advantage plan. If they state that a Medigap policy is part of the federal program or that you are required to purchase a plan, this is a good indicator that the company or sales rep is not very reputable. Another good indicator is the inability to provide a date when coverage will begin. Most companies that offer a Medigap policy will begin coverage immediately or on the first day of the following month. If the provider cannot give you a specific date you should take your business elsewhere.
My Insurance Representative Has Stated That Their Plan Is Approved By Medicare – Does This Guarantee It Is Legitimate?
On the contrary, this is probably a warning sign that the company is not up to par. There are specific rules that state a Medigap policy provider cannot make claims that any government agency or the Medicare program specifically endorses their company. This is a breech of policy and should be reported immediately to your states department of insurance.
What Should I Do If I Believe That I Have Been Misled Or The Policy Misrepresented?
If you feel that your Medigap policy was sold to you under less than legitimate circumstances you should immediately report it to the proper authorities. All states have a specific department allocated to handling insurance. Most often it is called the Bureau of Insurance or the Department of Insurance. You should contact them, report the incidence. If you have lost any money in the deal they may be able to provide you with information on what the next steps you need to take.