Medicare Supplementary Medical Insurance - SMI

AAA

DEFINITION of 'Medicare Supplementary Medical Insurance - SMI'

Health insurance sold by private insurance companies meant to top up an original Medicare plan. Medicare supplementary medical insurance, commonly known as Medigap, covers additional healthcare costs that may not be covered under the traditional Medicare plan, such as emergency room services and ambulatory surgical procedures.

INVESTOPEDIA EXPLAINS 'Medicare Supplementary Medical Insurance - SMI'

Medicare supplemental heath insurance has 12 standardized policies, categorized as plans A through L. Typically, when purchasing supplemental medical insurance, one must already be covered under Medicare A and B. In addition to any premiums associated with the original Medicare plan, subscribers must also pay premiums for any Medigap services they purchase over and above their original plan; however, as long as premiums are paid in good order, Medigap insurance policies are guaranteed to be renewed the following year.

RELATED TERMS
  1. Wellness Program

    An employer approach to improving employees' health. Wellness ...
  2. Medicare Part B Premiums

    A monthly fee that Medicare participants pay for medical insurance ...
  3. Social Security Administration ...

    A U.S. government agency created in 1935 by President Franklin ...
  4. Health Insurance Portability And ...

    An act created by the U.S Congress in 1996 that amends both the ...
  5. Medicare

    A U.S. federal health program that subsidizes people who meet ...
  6. Medicare Part D

    A prescription drug benefit program that was created through ...
Related Articles
  1. Health Insurance: Paying For Pre-Existing ...
    Home & Auto

    Health Insurance: Paying For Pre-Existing ...

  2. Create Your Own Social Security Fund
    Retirement

    Create Your Own Social Security Fund

  3. Fighting The High Costs Of Healthcare
    Home & Auto

    Fighting The High Costs Of Healthcare

  4. Getting Through The Medicare Part D ...
    Options & Futures

    Getting Through The Medicare Part D ...

comments powered by Disqus
Hot Definitions
  1. Correlation

    In the world of finance, a statistical measure of how two securities move in relation to each other. Correlations are used ...
  2. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  3. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  4. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  5. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  6. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
Trading Center