Key Takeaways:
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Medigap, also known as Medicare Supplement Insurance, helps cover out-of-pocket costs like deductibles, copays, and coinsurance, offering financial protection and greater predictability in healthcare expenses.
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With 10 standardized Medigap plans available, Plans F, G, and N are among the most popular due to their balance of coverage and affordability, but choosing the right plan depends on your healthcare needs and budget.
Understanding Medigap and Why It Matters
If you have Original Medicare, you already know that it doesn’t cover everything. That’s where Medigap comes in. Medigap policies help pay for out-of-pocket costs like deductibles, copayments, and coinsurance—expenses that can add up quickly. Since these plans are standardized, they provide the same basic benefits across different insurers, making it easier to compare options.
But with 10 Medigap plans to choose from, how do you pick the right one? Let’s break down the seven most popular Medigap plans and help you determine which one best fits your healthcare needs.
The 7 Most Popular Medigap Plans and What They Cover
1. Plan F – The Most Comprehensive Coverage (Only for Those Eligible Before 2020)
Plan F covers nearly all out-of-pocket expenses, including:
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Medicare Part A and B deductibles
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Coinsurance and copayments
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Skilled nursing facility coinsurance
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Foreign travel emergency care (up to plan limits)
If you became eligible for Medicare before January 1, 2020, you might still be able to enroll in Plan F. However, since it is no longer available to new Medicare enrollees, many are looking at Plan G instead.
2. Plan G – The Best Alternative to Plan F
Plan G provides almost the same coverage as Plan F, except for the Medicare Part B deductible. That means you’ll need to pay the Part B deductible out of pocket each year, but after that, Plan G covers the rest.
For those who want comprehensive coverage but aren’t eligible for Plan F, Plan G is often the next best option.
3. Plan N – A Balance of Cost and Coverage
Plan N offers solid coverage while keeping monthly premiums lower by requiring small copays. It covers:
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Medicare Part A deductible
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Part B coinsurance (except for a small copay for doctor and ER visits)
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Skilled nursing facility coinsurance
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Foreign travel emergency care (up to plan limits)
Plan N does not cover the Part B deductible or any excess charges, meaning you may pay a little more when you see a doctor who charges above the Medicare-approved amount.
4. Plan C – Comprehensive but Limited to Older Beneficiaries
Like Plan F, Plan C is only available to those eligible for Medicare before 2020. It covers:
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Part A and B deductibles
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Coinsurance and copayments
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Skilled nursing facility coinsurance
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Foreign travel emergency care
Plan C does not cover Part B excess charges, meaning if your provider doesn’t accept Medicare’s standard rates, you’ll have to pay the difference.
5. Plan D – A Simpler Option for Basic Coverage
Plan D offers good coverage without covering Part B excess charges. It includes:
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Medicare Part A deductible
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Coinsurance and copayments
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Skilled nursing facility coinsurance
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Foreign travel emergency care
This plan is ideal if you want coverage similar to Plan G but don’t mind paying excess charges if they arise.
6. Plan K – Lower Premiums with Higher Out-of-Pocket Costs
Plan K is a cost-sharing Medigap plan that covers only 50% of certain expenses until you reach an annual out-of-pocket limit. After hitting that limit, it covers 100% of costs for the rest of the year.
It covers:
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50% of the Part A deductible
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50% of skilled nursing facility coinsurance
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50% of Part B copayments
If you’re okay with more out-of-pocket spending in exchange for lower premiums, Plan K could work for you.
7. Plan L – Similar to Plan K but with Higher Coverage
Plan L is another cost-sharing Medigap plan but covers 75% of certain costs instead of 50%. Like Plan K, it has an out-of-pocket limit, after which it covers 100% of expenses.
If you want a balance between lower premiums and reasonable coverage, Plan L might be a good fit.
How to Choose the Right Medigap Plan for You
Now that you know the most popular Medigap plans, here are some key factors to consider when choosing one:
1. Your Healthcare Needs
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Do you visit the doctor often?
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Do you need frequent hospital care?
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Do you require coverage for foreign travel?
If you expect high medical expenses, a plan with more comprehensive coverage, like Plan G or Plan F (if eligible), might be the best option.
2. Your Budget
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Are you comfortable paying a higher monthly premium to minimize out-of-pocket costs?
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Would you prefer lower premiums with more cost-sharing?
If you’re looking for lower premiums and are okay with paying more when you receive care, Plans K and L could be good options.
3. Future Medicare Changes
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If you’re new to Medicare, Plans C and F are not available to you.
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Medicare policies and pricing may change, so always check the most up-to-date information before enrolling.
4. Provider Flexibility
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Do you see doctors who charge excess fees beyond Medicare’s rates?
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Do you want protection against these extra charges?
If avoiding excess charges is a priority, Plans G and F fully cover them, while Plans N and C do not.
Making the Right Decision for Your Healthcare Future
Choosing the right Medigap plan ensures you get the coverage you need without unexpected costs disrupting your finances. While Plans F, G, and N remain the most popular choices, understanding your medical needs and budget will help you determine which one best fits your lifestyle.
If you need personalized guidance, get in touch with a professional listed on this website. They can help assess your healthcare needs and budget to find the best Medigap plan for you.
