# Plain Language Summary: Close the Medigap Act of 2021

This bill makes major changes to Medigap insurance, which is supplemental coverage that helps pay for costs Medicare doesn't cover. Right now, insurance companies can refuse to sell you Medigap coverage or charge you more based on your health status or medical history. This bill would eliminate that practice and require insurance companies to sell Medigap policies to anyone who qualifies for Medicare, regardless of their health condition, starting in 2022.

The bill also removes restrictions that currently prevent Medigap policies from covering your first dollar of costs (meaning your deductibles and copayments). Currently, some Medigap plans can't cover these upfront expenses, which leaves seniors with significant out-of-pocket costs. Under this bill, insurance companies would be allowed to offer more comprehensive coverage that pays these costs from the start. Additionally, the bill requires insurance companies to spend a higher percentage of premium dollars on actual medical care rather than administrative costs and profits, ensuring customers get better value for their money.

To help people navigate these changes, the bill requires the government to create an improved Medicare plan finder website that clearly shows costs, provider networks, and policy options so seniors can easily compare their choices. The bill also requires Medigap brokers and agents to disclose what payments they receive from insurance companies, bringing transparency to how these middlemen are compensated. These changes are designed to make Medigap insurance more accessible and affordable for older Americans, particularly those with pre-existing conditions who currently struggle to find coverage.

Close the Medigap Act of 2021

Doggett, Lloyd

Close the Medigap Act of 2021 This bill (1) expands guaranteed issue rights with respect to Medigap policies (Medicare supplemental health insurance policies), (2) eliminates certain limitations&nbsp;on Medigap policies for newly eligible Medicare beneficiaries, and (3) modifies other provisions related to Medigap policies. (Guaranteed issue rights require that a policy be offered to any eligible applicant without regard to health status.)