What type of insurance plan may an individual receive when retiring from a company?

When an individual retires from a company, they may be offered a supplemental insurance plan. This type of plan typically serves to enhance or fill in the gaps of Medicare coverage. Many employers offer employees supplemental insurance as a benefit, which can help cover additional healthcare costs that Medicare does not fully address, such as copayments, deductibles, or certain services.

Supplemental insurance plans can vary significantly in terms of the coverage they provide and often serve as a way to provide retirees with more comprehensive health coverage as they transition from company-sponsored health plans to Medicare. These plans are designed specifically to complement Medicare benefits and help ensure that retirees have access to the medical care they need without incurring excessive out-of-pocket costs.

While Medicare Advantage plans and Medigap policies are specific forms of insurance that function within the Medicare system, they typically are not directly provided by employers upon retirement. A private contractor plan may refer to specific arrangements with individual providers but doesn’t generally fit the context of an employer-issued benefit for retirees.