Medicare Supplemental Insurance helps people pay for medicine. Medicare is the government program that is essentially a state-run medicine insurance company. While it saves disabled and elderly citizens billions of dollars each year, this entitlement ultimately depends on the federal budget. There is no reserve fund; it was all spent years ago because Congress borrowed from it. When revenue decreases, so does money for Medicare.
In fact, medical entitlement spending was recently cut by Congress and there is the prospect of it being cut again. With all this loss of benefits, private citizens are scrambling to find ways to pay for it all. Medicare Supplemental Insurance has been helping some people with this problem for several years. It helps mostly elderly citizens who stretch their benefits thin and are afraid that a sudden emergency might arise that would be too expensive for them normally. Some recipients depend on Medigap every day.
Since the public sector is wearing thin, more and more people will depend on Medicare Supplemental Insurance. While it is not the most ideal situation, it is the only way some folks will get the coverage they need to survive. If more and more sickly people switch to Medigap, then on of several things must happen: The cost of insurance will rise as the insurer’s costs do, or companies will be forced to deny coverage. Alternatively, they will receive money but find ways to wiggle out of payments. One thing is sure: Any commodity that suddenly gets hot will become more expensive.
Unfortunately Medicare Supplemental Insurance only picks up where public spending trials off. There is no public program to help with Medigap. Needy persons will have to adapt new strategies, such as finding cheaper insurance, accepting skimpier coverage, or switching to older and cheaper medicines.