Medigap plans help beneficiaries cover the costs left over by Medicare. This Medicare Supplement refresher will review the benefits of Medigap plans, how they’re impacted by the Annual Enrollment Period, and answer some frequently asked questions. Learn all you need to know about the Medicare Supplement plans.
What is a Medicare Supplement plan?
Medicare Supplement (Medigap) plans are secondary coverage for Original Medicare. There are ten letter plans to choose from that offer different levels of coverage and help offset the cost-share that beneficiaries pay on Original Medicare. Since they’re secondary coverage, Medigap plans allow you the same advantages as OM, such as the freedom to see any doctor nationwide that accepts Medicare and the lack of restrictions to see specialists or services.
Refresher of Medicare Supplement coverage
Medigap plans only cover costs from items and services covered under Original Medicare. This means coverage for items and services related to routine dental, vision, and hearing, nor prescription drug coverage is included. For coverage on items not included by Original Medicare, you’ll need to enroll in additional insurance, such as a Part D prescription drug plan and coverage for dental, vision, or hearing.
Medicare Supplement plans are standardized nationwide except in Wisconsin, Minnesota, and Massachusetts. This means that the coverage is exactly the same no matter where you reside, or which company you enroll with.
These plans cover cost-share items for such as:
- Part A deductible
- Part A coinsurance
- Part A copayments
- Part B deductible
- Part B coinsurance
- Part B copayments
- Part B excess charges
- Medications administered in an outpatient setting
- Durable medical equipment
Refresher of Medicare Supplement plan options
Medigap plans are designated by letters representing ten different coverage levels. Plan F and Plan G have a high deductible version that requires a plan deductible of $2,700 before coverage begins. These are great options for beneficiaries looking for a lower monthly premium, and a low annual out-out-pocket
As mentioned above, the coverage is the same regardless of where you live or your chosen insurance company. So once you find the plan letter for you, it comes down to the price and quality of the company.
Plan A
- Part A coinsurance or copay
- Part B coinsurance or copay
- Blood (first 3 pints)
- Part A hospice coinsurance or copay
- coinsurance for preventive services
Plan B
- Part A coinsurance or copay
- Part B coinsurance or copay
- Blood (first 3 pints)
- Part A hospice coinsurance or copay
- Part A deductible
- Coinsurance for preventive services
Plan C – only available for beneficiaries eligible for Medicare before 2020
- Part A coinsurance or copay
- Part B coinsurance or copay
- Blood (first 3 pints)
- Part A hospice coinsurance or copay
- Skilled nursing coinsurance
- Part A deductible
- Part B deductible
- Foreign travel emergency coverage
- Coinsurance for preventive services
Plan D
- Part A coinsurance or copay
- Part B coinsurance or copay
- Blood (first 3 pints)
- Part A hospice coinsurance or copay
- Skilled nursing coinsurance
- Part A deductible
- Foreign travel emergency coverage
- Coinsurance for preventive services
Plan F – only available for beneficiaries eligible for Medicare before 2020
- Part A coinsurance or copay
- Part B coinsurance or copay
- Blood (first 3 pints)
- Part A hospice coinsurance or copay
- Skilled nursing coinsurance
- Part A deductible
- Part B deductible
- Part B excess charges
- Foreign travel emergency coverage
- Coinsurance for preventive services
Plan G
- Part A coinsurance or copay
- Part B coinsurance or copay
- Blood (first 3 pints)
- Part A hospice coinsurance or copay
- Skilled nursing coinsurance
- Part A deductible
- Part B excess charges
- Foreign travel emergency coverage
- Coinsurance for preventive services
Plan K
- Part A coinsurance or copay
- 50% Part B coinsurance or copay
- 50% Blood (first 3 pints)
- 50% Part A hospice coinsurance or copay
- 50% Skilled nursing coinsurance
- 50% Part A deductible
- Coinsurance for preventive services
- Maximum-out-of-pocket ($6,620)
Plan L
- Part A coinsurance or copay
- 75% Part B coinsurance or copay
- 75% Blood (first 3 pints)
- 75% Part A hospice coinsurance or copay
- 75% Skilled nursing coinsurance
- 75% Part A deductible
- Coinsurance for preventive services
- Maximum-out-of-pocket ($3,310)
Plan M
- 50% Part A coinsurance or copay
- Part B coinsurance or copay
- Blood (first 3 pints)
- Part A hospice coinsurance or copay
- Skilled nursing coinsurance
- Part A deductible
- Foreign travel emergency coverage
- Coinsurance for preventive services
Plan N
- Part A coinsurance or copay
- Part B $20 copay for office visits; $50 copay for Emergency room
- Blood (first 3 pints)
- Part A hospice coinsurance or copay
- Skilled nursing coinsurance
- Part A deductible
- Foreign travel emergency coverage
- Coinsurance for preventive services
Most popular Medicare Supplement plans
Most Americans enroll in Plan F, Plan G, or Plan N. These plans provide the most comprehensive coverage at an attractive price point. While Plan F is the most popular, not everyone can enroll in this plan. Plan G is the most popular among new Medicare enrollees, and Plan N gives the best back for your buck regarding coverage.
Medicare Supplement Refresher FAQ
Do Medicare Supplement plans renew automatically?
After discovering the most suitable plan, maintaining it becomes a priority. The good news is, you can typically stick with your chosen plan indefinitely. It’s termed “guarantee renewable.” By consistently paying your monthly premium, Medicare Supplement insurance plans automatically renew.
Can Medicare supplements be purchased at any time of the year?
Unlike other Medicare coverage options, Medicare Supplement insurance doesn’t come with enrollment period restrictions. You can apply for a Medicare Supplement insurance plan anytime if you’re enrolled in Original Medicare (Part A and B). Outside of your Open Enrollment Period, you’ll need to pass medical underwriting, unless you are in a Guarantee Issue situation.
Do Medicare supplements increase with age?
Age affects how Medicare Supplement Insurance (Medigap) companies calculate plan premiums. Your Medigap premium signifies your monthly membership cost for the plan. Medigap rates usually increase annually based on several factors. However, age could be a factor depending on the plan’s pricing method.
Get help finding a Medicare Supplement to meet your need
With several options, it’s wise to speak with a licensed professional to help narrow down the options to fit your needs. Review plans and companies in your area by filling out our online rate form.
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