Illinois Medicare Supplement – Insurance Company Civil Penalties Considered

For those companies which offer Illinois Medicare Supplement insurance or Medigap – they must stay within strict guidelines, or they will be in violation of their registration or license to offer such coverage. These insurance companies are required to give the insured a disclosure statement of exactly what is covered, and what is not.

These disclosures must be in plain in simple English, and not riddled with hard to understand legalese. Although various states have different laws regarding exactly what must be disclosed there are also federal laws, which must be disclosed in all states including Illinois.

There are severe civil fines and criminal penalties for any company or insurer that fails to provide these required disclosure statements. The federal civil penalties and criminal charges can be put forth against any insurance company or agent, which intentionally or knowingly duplicates the coverage which is required and given to all persons under Medicare. Medigap insurance is exactly that, it is only to cover the difference between what Medicare enrollment allots for, and what the insured wishes to protect against.

There are also harsh and stiff penalties for making false statements that a given policy meets legal criteria for certification or complies with specific standards if and when it does not. And, it should also be noted that there are severe penalties when Medigap insurance policies are denied based on discrimination.

Although with such criminal and civil penalties, you’d expect that no insurance agent or insurance company would ever break the law - it does and has happened, and when it does it often goes undetected because Medicare is such a complex and complicated thing to understand for most people.

If you have any questions about Medicare or Illinois Medicare supplemental insurance, feel free to give me a call so I can explain it to you, and also explain what is covered with your Medicare enrollment, and what is not. Then, and only then you can decide if you wish to shore up those risks with an additional policy to protect you.

Think about your reward - No More Stress - No More Worries - and Mission Accomplished!

Randy Gillespie is the owner of Focus Insurance Group, get expert help from an agent specializing in Illinois Medicare Supplement & Illinois Medicare. To learn more visit his site at http://www.focusinsgroup.com

Tags: Illinois Medicare, Illinois Medicare Supplement

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