Why Original Medicare Isn't Enough

Original Medicare (Parts A and B) covers roughly 80% of your healthcare costs. The remaining 20% — with no out-of-pocket maximum — can add up to tens of thousands of dollars in a serious illness. Medicare Supplement (Medigap) plans exist to cover that gap.

How Medigap Works

You pay a monthly premium to a private insurer. In exchange, that insurer pays some or all of the costs that Medicare doesn't cover: deductibles, copayments, and coinsurance. Unlike Medicare Advantage, Medigap works with any doctor or hospital that accepts Medicare nationwide — no networks, no referrals.

Plan G: The Gold Standard for New Enrollees

Plan G is currently the most comprehensive Medigap plan available to new Medicare enrollees (Plan F was closed to new enrollment in 2020).

What Plan G covers:

  • Part A hospital coinsurance and an additional 365 days of hospital costs
  • Part B coinsurance (20% after deductible)
  • Part A deductible ($1,632 in 2024)
  • Skilled nursing facility coinsurance
  • Foreign travel emergency coverage (80%, up to plan limits)

What you still pay: The Part B annual deductible ($240 in 2024). That's it.

Average monthly premium: $100–$200 for a 65-year-old, depending on your state and insurer.

Plan N: Lower Premiums, Some Copays

Plan N offers slightly lower premiums than Plan G in exchange for small out-of-pocket copays.

Differences from Plan G:

  • Up to $20 copay for office visits
  • Up to $50 copay for emergency room visits (waived if admitted)
  • Does not cover Part B excess charges (doctors who charge above Medicare's approved amount)

Best for: People who rarely see doctors and want to save $20–$40/month in premiums.

Average monthly premium: $80–$160 for a 65-year-old.

Plan F: Grandfathered Coverage

Plan F was the most comprehensive Medigap plan ever offered — it covered everything, including the Part B deductible. However, it's no longer available to new Medicare enrollees who became eligible after January 1, 2020.

If you're already enrolled in Plan F, you can keep it. But premiums tend to rise faster as the enrollment pool ages, so it's worth comparing Plan G costs annually.

How to Choose Between Plans

The decision usually comes down to your health situation and risk tolerance:

  • You want maximum simplicity and no surprises → Plan G
  • You're healthy, rarely see doctors → Plan N (save the premium difference)
  • You travel internationally → Plan G or N (both include foreign travel emergency)
The plans themselves are standardized by law — Plan G from Aetna covers the exact same benefits as Plan G from Mutual of Omaha. Shop on price and company financial stability.

When to Enroll

Your Medigap Open Enrollment Period starts the month you turn 65 and are enrolled in Part B. During this 6-month window, insurers cannot deny coverage or charge higher premiums due to pre-existing conditions. After it closes, they can — making timing critical.