Fair Square Medicare Wordmark

Do You Need Medigap if You're Eligible for Both Medicare and Medicaid?

A person with a shopping cart already containing medicaid and medicare sees Medigap options on a table. In a thought bubble, they ask "Should I get Medigap too?"
By Daniel Petkevich
Jan 7, 2023

You may enroll in more than one plan, but you don't need all three. Here's why:

Medicare, Medicaid, and Medigap (also known as Medicare Supplement) often overlap; sometimes, people sign up for more than one plan. But is there ever a time when you should enroll in all three?

Stay Up to Date on Medicare!

Join the Fair Square Medicare Newsletter to stay informed on cost savings, changes to Medicare, and other valuable healthcare information.
We want you to get the best benefits possible, so we'll walk you through everything you need to know.
Let's explore Medicare, Medicaid, and Medigap in more detail, get a sense of their differences, and discuss whether to enroll in more than one plan.

What's the Difference Between Medicare, Medicaid and Medigap?

Medicare, Medicaid and Medigap all assist in covering your healthcare expenses. But they help different populations and meet unique needs.
Let's take a look at each plan.

Medicare

It provides coverage to people ages 65+ and those with disabilities or

ESRD

(end-stage renal disease).
There are four parts to Medicare:
  • Part A — part of Original Medicare; covers inpatient hospital stays, skilled nursing facility care, hospice care, and some home healthcare
  • Part B — part of Original Medicare; covers medically necessary services and preventive care, such as doctor visits, lab tests, and durable medical equipment
  • Part C (Medicare Advantage) — alternative to Parts A and B offered by private insurance companies; combines all the benefits of Parts A and B and often includes additional benefits, such as prescription drug coverage
  • Part D — prescription drug benefit that can be added to Original Medicare (Parts A and B) or a Part C plan

Medicaid

Medicaid is a joint federal and state program that provides health insurance to low-income individuals and families — including the elderly, individuals with disabilities, children, and pregnant women.
Medicaid might cover a wide range of medical services, such as:
  • Doctor visits
  • Hospital stays
  • Prescription drugs
  • Long-term care
  • Immunizations
  • Screenings
Medicaid is administered by the states (rather than at a federal level). And each state has its own eligibility criteria and benefits. To be eligible for Medicaid, you must meet your state's income and asset requirements.

Medigap

Medigap is a supplemental insurance policy that supplements Original Medicare (Part A and Part B).
It helps cover certain out-of-pocket costs — like copayments, coinsurance, and deductibles. However, it doesn't cover

long-term care

, vision, dental, hearing aids, private-duty nursing, and prescription drugs.
Medigap policies are offered by private insurance companies and are standardized by the federal government. You can choose from

10 Medigap plans

depending on your requirements.

Medicare Supplement Plan G

offers the most comprehensive coverage for many of our clients.

Can I Get Both Medicare and Medicaid Benefits Together?

Yes. You can benefit from Medicare and Medicaid if you're dually eligible. In other words, you have to meet the eligibility requirements for both Medicare and Medicaid.
To be dually eligible, you must meet the following conditions:
  • Be 65 years or older or have a disability (like ESRD)
  • Have a low income

How Do Medicare and Medicaid Work Together?

Medicare covers 80% of your healthcare expenses, while Medicaid helps cover the remaining out-of-pocket costs left by Medicare Parts A and B.
In other words, Medicare covers services that Medicaid doesn't and vice versa.
For example, Medicare may cover your hospital stays, doctor visits, and lab tests, while Medicaid covers your additional expenses like premiums, prescription drugs, eyeglasses,

hearing aids

and long-term care. Both work together to maximize your benefits and provide comprehensive coverage.
To better understand how these two programs work together, you need to be familiar with two terms: coordination of benefits and crossover claims.

What Is Coordination of Benefits?

When a person has multiple health insurance plans (like Medicare and Medicaid), providers must coordinate their benefits to avoid overpaying or duplicating coverage. Coordination of benefits determines which health insurance plan should pay for a medical service or claim first.
  • "Primary" payer — the insurance plan that pays first
  • "Secondary" payer — the plan that pays second
In general, Medicare is the primary payer, and Medicaid is the secondary payer. This means Medicare will pay for covered medical services first, and Medicaid will pay for any remaining expenses not covered by Medicare — like copayments, deductibles and coinsurance.

What's a Crossover Claim?

A crossover claim is a medical claim submitted to multiple insurance plans. They're used when an individual has two insurance plans that coordinate their benefits.
For example, if you’re enrolled in both Medicare and Medicaid, your provider will submit the claim to Medicare. Medicare will process the claim first and apply any deductibles, coinsurance, or copayments. The claim will then be automatically forwarded to Medicaid. (Note: Your provider doesn't have to bill Medicaid separately for the deductible, coinsurance, or copayments that Medicare applied).

Is Medigap Necessary If You Are Eligible for Both Medicare and Medicaid?

No. You don't need to enroll in a Medigap Plan if you're enrolled in Medicare and are eligible for full Medicaid benefits.
Here's why:
  • Most of your medical expenses are likely covered if you're dually eligible for Medicare and Medicaid
  • Insurance companies aren't permitted to sell Medigap policies to Medicare beneficiaries with full Medicaid coverage

I Don't Qualify for Medicaid. Can I Still Get a Medigap Plan?

Yes! Medigap plans are good for individuals who don't qualify for Medicaid. They're especially helpful if you have a high income or assets and need help with out-of-pocket costs not covered by Original Medicare (Parts A and B).

Takeaway

Medicare, Medicaid, and Medigap are all health insurance programs that cover your medical expenses. Medicaid is specifically designed to help low-income individuals pay for out-of-pocket costs. In contrast, Medigap plans often help high-income individuals — who aren't eligible for Medicaid — pay for their out-of-pocket costs.
You don't need to enroll in a Medigap Plan if you're eligible for both Medicare and Medicaid. Medicaid will likely cover most of your out-of-pocket expenses.
Having multiple health insurance plans can give you more comprehensive coverage. But it can also be confusing. At

Fair Square Medicare

, we have helped thousands of beneficiaries understand the ins and outs of Medicare and make informed decisions about their coverage. If you have any questions, give us a call at 1-888-376-2028.

Stay Up to Date on Medicare!

Join the Fair Square Medicare Newsletter to stay informed on cost savings, changes to Medicare, and other valuable healthcare information.

Recommended Articles

Cover image
The Fair Square Bulletin: The End of the COVID Emergency Declaration
May 30, 2023
Cover image
Should You Work With A Remote Medicare Agent?
Sep 20, 2023
Cover image
How Much Does a Medicare Coach Cost?
Mar 20, 2023
senior gentleman wearing a suit working on his laptop outside of his office stock photo
How Your Employer Insurance and Medicare Work Together
Sep 27, 2022
Teenager Helping his Grandfather at Home stock photo
Does Medicare Cover Geri Chairs?
Dec 7, 2022
hand holding up Invisalign stock photo
Does Medicare Cover Orthodontic Care?
Nov 18, 2022
senior man receiving dental care stock photo
Will Medicare Cover Dental Implants?
Jun 2, 2022
Cover image
2024 Medicare Price Changes
Oct 30, 2023
Asian senior male patient having him eyes examined by laser machine
Finding the Best Vision Plans for Seniors
Jan 6, 2023
senior woman doing botox stock photo
Is Botox Covered by Medicare?
Jan 19, 2023
Caucasian nurse holding spine model against the patients backs. Clinic interior. stock photo
Does Medicare Cover Kyphoplasty?
Dec 9, 2022
surgeons working over a patient stock image
Does Medicare Cover LVAD Surgery?
Nov 30, 2022
Pre-Existing condition stock image
Can Medicare Advantage Plans Deny Coverage for Pre-Existing Conditions?
Mar 28, 2023
senior man with his glasses in his hand working in front of his laptop stock photo
Can I Change Medicare Advantage Plans Any Time? | Medicare Plans
Sep 19, 2022
Charlotte skyline stock image
14 Best Ways to Stay Active in Charlotte
Mar 9, 2023
scientist mixing chemical compounds stock image
Does Medicare Cover Compounded Medications?
Apr 4, 2023
Senior woman checking blood pressure/heart rate at home stock photo
Does Medicare Cover Home Heart Monitors?
Dec 1, 2022
Cover image
How Are Medicare Star Ratings Determined?
Sep 6, 2023

More of our articles

13 Best Ways for Seniors to Stay Active in Columbus

13 Best Ways for Seniors to Stay Active in Indianapolis

14 Best Ways for Seniors to Stay Active in Nashville

20 Questions to Ask Your Medicare Agent

2023 Medicare Annual Election Period (AEP)

Are Medicare Advantage Plans Bad?

Can I Have Two Primary Care Physicians?

Can I Use Medicare Part D at Any Pharmacy?

Can Medicare Help with the Cost of Tyrvaya?

Comparing All Medigap Plans | Chart Updated for 2023

Do You Need Medigap if You're Eligible for Both Medicare and Medicaid?

Does Medicare Cover Air Purifiers?

Does Medicare Cover Boniva?

Does Medicare Cover Cardiac Ablation?

Does Medicare Cover Cervical Disc Replacement?

Does Medicare Cover Diabetic Eye Exams?

Does Medicare Cover Driving Evaluations?

Does Medicare Cover Hearing Aids?

Does Medicare Cover Hepatitis C Treatment?

Does Medicare Cover Hoarding Cleanup?

Does Medicare cover Hyoscyamine?

Does Medicare Cover Hypnotherapy?

Does Medicare Cover Ilumya?

Does Medicare Cover Inqovi?

Does Medicare Cover Jakafi?

Does Medicare Cover Lipoma Removal?

Does Medicare Cover Ofev?

Does Medicare Cover Ozempic?

Does Medicare Cover Piqray?

Does Medicare Cover Qutenza?

Does Medicare Cover Robotic Surgery?

Does Medicare Cover Service Animals?

Does Medicare Cover Shock Wave Therapy for Plantar Fasciitis?

Does Medicare Cover SI Joint Fusion?

Does Medicare Cover TENS Units?

Does Medicare Cover the Urolift Procedure?

Does Medicare Cover Wart Removal?

Does Medicare Pay for Allergy Shots?

Does Medicare Pay for Bunion Surgery?

Does Medicare pay for Opdivo?

Does Medicare Pay for Varicose Vein Treatment?

Does Medicare Require a Referral for Audiology Exams?

Does Your Medicare Plan Cover B12 Shots?

Estimating Prescription Drug Costs

Explaining the Different Enrollment Periods for Medicare

Fair Square Client Newsletter: AEP Edition

How Can I Get a Replacement Medicare Card?

How Do I Sign up for Medicare? A Simple How-To Guide For You

How Much Does a Pacemaker Cost with Medicare?

How Much Does Medicare Part A Cost in 2023?

How Much Does Open Heart Surgery Cost with Medicare?

How Much Does Trelegy Cost with Medicare?

How to Apply for Medicare?

How to Choose a Medigap Plan

How to Enroll in Social Security

Is Balloon Sinuplasty Covered by Medicare?

Is Emsella Covered by Medicare?

Is PAE Covered by Medicare?

Medicare & Ozempic

Medicare Advantage Plans for Disabled People Under 65

Medicare Guaranteed Issue Rights by State

Medicare Supplement Plans for Low-Income Seniors

Medigap vs. Medicare Advantage

The Fair Square Bulletin: June 2023

Top 10 Physical Therapy Clinics in San Diego

What Happens to Unused Medicare Set-Aside Funds?

What Is a Medicare Advantage POS Plan?

What Is the Medicare Birthday Rule in Nevada?

What People Don't Realize About Medicare

What's the Deal with Flex Cards?

Why Is Medicare So Confusing?

Will Medicare Cover it?

Your Medicare One-Stop-Shop

Your guide to Medicare Parts A & B, Medicare Advantage, and Medigap. 100% free.
Get the Fair Square Bulletin

Medicare savings tips, helpful guides, and more.

About

Medicare 101

Current Clients

Medicare Supplement Plans

Medicare Advantage Plans

Fair Square 2023

Terms of Use
Notice of Privacy Practices

Virgil Insurance Agency, LLC (DBA Fair Square Medicare) and www.fairsquaremedicare.com are privately owned and operated by Help Button Inc. Medicare supplement insurance plans are not connected with or endorsed by the U.S. government or the federal Medicare program. This is a solicitation of insurance. A licensed agent/producer may contact you. Medicare Supplement insurance is available to those age 65 and older enrolled in Medicare Parts A and B and, in some states, to those under age 65 eligible for Medicare due to disability or End-Stage Renal disease. Virgil Insurance Agency is a licensed and certified representative of Medicare Advantage HMO, HMO SNP, PPO, PPO SNP and PFFS organizations and stand-alone PDP prescription drug plans. Each of the organizations we represent has a Medicare contract. Enrollment in any plan depends on contract renewal. The plans we represent do not discriminate on the basis of race, color, national origin, age, disability, or sex. Plan availability varies by region and state. For a complete list of available plans please contact 1-800-MEDICARE (TTY users should call 1-877-486-2048), 24 hours a day/7 days a week or consult www.medicare.gov. © 2022 Help Button Inc

We do not offer every plan available in your area. Any information we provide is limited to those plans we do offer in your area. Please contact Medicare.gov or 1-800-MEDICARE to get information on all of your options.

MULTIPLAN_FairSquareMedicare_01062022_M