AARP Supplemental Insurance
The AARP (formerly known as the American Association of Retired Persons) is an independent nonprofit organization/interest group that was founded in 1958 (originally as a nonpartisan membership organization for senior citizens over the age of 50). The organization originally pledged to enhance the quality of life for senior citizens by providing a diverse range of unique products, benefits, and services for their members. Over time, the AARP gradually grew and began providing various member benefits and different types of insurance. Today, the AARP itself has now surpassed the age of 50, and is one of the largest insurance providers in the nation, as well as one of the largest membership organizations in America (with over 40 million members). The following paragraphs define and discuss various types of AARP supplemental insurance, as well as AARP member benefits (which are primarily responsible for the steadily increasing popularity of this well-established successful organization).
What Is AARP Supplemental Insurance?
Supplemental health insurance is a type of insurance that provides coverage for expenses that your regular health insurance plan does not cover. In general, AARP supplemental insurance is ideal for individuals that are self-employed, have a large family with children, are not financially prepared to deal with large medical bills or unexpected unemployment time due to injury or illness, or those that are currently on Medicare. Some additional benefits included with a supplemental health insurance policy include lower medical costs, the ability to offset repayments due to lost income (which is often not offered with a conventional health insurance policy), and even coverage for pre-existing conditions (another benefit that is rarely found in conventional health insurance policies). The most commonly used type of AARP supplemental insurance is offered to individuals that have Medicare, which sometimes does not cover in-house care, prescription drugs, long-term healthcare, and hospitality).
Types of AARP Supplemental Insurance Plans
The AARP currently offers 12 Medigap (supplemental insurance) plans, which is the maximum amount of plans allowed to be offered by a single insurance provider. All AARP supplemental insurance plans must include at least the following basic benefits – coinsurance for the 61st through the 90th hospital days, the full cost of 365 additional hospital days (after all Medicare hospital benefits have been exhausted), and the first 3 pints of blood (for blood transfusions and surgeries etc.). AARP supplemental insurance plans are offered in Medigap plans A through L (with Plan A containing the basic benefits, and each following plan containing an increasing amount of coverage). The most comprehensive AARP supplemental insurance plan (Medigap plan L) may provide as much as 75% to 100% coverage for medical expenses.
What Are AARP Member Benefits?
AARP member benefits are offered in a variety of forms, including travel benefits, discounts, wholesale health products (such as prescriptions, fitness memberships, or health and beauty products) cheap insurance products, and financial services such as retirement planning. Members also receive exclusive access to various programs and resources including volunteer opportunities, private publications, and AARP state advocacy programs. These AARP member benefits can be obtained without purchasing an AARP supplemental insurance plan, for the low annual cost of only $16. After becoming a member of the AARP, it is possible to find some of the lowest insurance premiums and comprehensive coverage plans available on the market. By becoming an AARP member you can gain access to more than just discounted insurance plans, as you'll have access to robust knowledgebases of information, online communities, support groups, and discounted products and services related to personal growth, employment, money management, health, food, travel, entertainment, philanthropy, and technology. Ultimately, the goal of the AARP is to offer a list of member benefits that will provide prospective members with enough incentive to join and become a long-standing member.