A major medical plan must be a group medical plan (whether a fully insured plan or an employer sponsored self-funded plan) that provides benefits for hospital confinements and requires you to pay a deductible and/or portion of coinsurance. A major medical plan does not include Medicare, Medicaid or government sponsored programs not typically considered major medical coverage (such as, but not limited to, veterans’ benefits, etc.)

Employers choose the benefits and plan structure along with the assistance of insurance professionals. The insurance professional should have reviewed and analyzed your major medical plan coverage and its associated costs, to determine the most effective GAP plan(s) available.