What Is Medigap Insurance?
Medigap policies are sold through private insurance companies to help cover some of the out-of-pocket costs of Original Medicare. Original Medicare is made up of two parts: Medicare Part A (hospital insurance) and Medicare Part B (medical insurance).
Although Original Medicare covers a wide range of health care expenses, it does leave deductibles, copayments and coinsurance to the beneficiary.
See how Medigap (Medicare Supplement Insurance) can help reduce your out-of-pocket costs.
What Does Medicare Supplement Insurance Cover?
There are 10 standardized Medigap plans available in most states, labeled Plan A, B, C, D, F, G, K, L, M and N. Each Medigap plan is unique in the combination of benefits it offers.
Important: Plan F and Plan C are not available to beneficiaries who became eligible for Medicare on or after January 1, 2020.
All 10 Medigap plans provide at least partial coverage for:
- Medicare Part A coinsurance and hospital costs
- Medicare Part B coinsurance or copayment
- First three pints of blood for transfusion
- Medicare Part A hospice care co-insurance or copayment
Medigap Plan A is the least comprehensive Medigap plan — providing only the basic benefits listed above. The other nine plans offer some combination of additional benefits that help cover Medicare out-of-pocket expenses.
Refer to the chart below to see how each type of Medicare Supplement Insurance plan compares.
Scroll to the right to continue reading the chart
Medicare Supplement Benefits
Part A coinsurance and hospital coverage
Part B coinsurance or copayment
Part A hospice care coinsurance or copayment
First 3 pints of blood
Skilled nursing facility coinsurance
Part A deductible
Part B deductible
Part B excess charges
Foreign travel emergency
* Plan F and Plan C are not available to Medicare beneficiaries who became eligible for Medicare on or after January 1, 2020. If you became eligible for Medicare before 2020, you may still be able to enroll in Plan F or Plan C as long as they are available in your area.+ Read more
1 Plans F and G offer high-deductible plans that each have an annual deductible of $2,370 in 2021. Once the annual deductible is met, the plan pays 100% of covered services for the rest of the year. The high-deductible Plan F is not available to new beneficiaries who became eligible for Medicare on or after January 1, 2020.
2 Plan K has an out-of-pocket yearly limit of $6,220 in 2021. After you pay the out-of-pocket yearly limit and yearly Part B deductible, it pays 100% of covered services for the rest of the calendar year.
3 Plan L has an out-of-pocket yearly limit of $3,110 in 2021. After you pay the out-of-pocket yearly limit and yearly Part B deductible, it pays 100% of covered services for the rest of the calendar year.
4 Plan N pays 100% of the Part B coinsurance, except for a copayment of up to $20 for some office visits and up to $50 copayment for emergency room visits that don’t result in an inpatient admission.- Read less
How Much Does a Medigap Policy Cost?
Because the basic benefits of each type of Medigap plan are standardized, Medigap Plan F from one insurer will provide the exact same benefits as a Medigap Plan F policy from another. However, the price you pay can vary depending on where you live, and the insurance company providing your plan. This is true for every Medigap plan.
Generally, the more comprehensive the Medigap plan, the more expensive its monthly premium will likely be.
Who Is Eligible for Medigap?
In most cases, you must be at least 65 years old and enrolled in Medicare Part B to enroll in a Medicare Supplement Insurance plan. However, some states require insurance companies to offer at least one Medigap policy to Medicare recipients who are younger than 65 and receive benefits due to a disability.
If you are enrolled in a Medicare Advantage (Medicare Part C) you may not enroll in a Medigap plan (until you drop your MA plan and switch back to Original Medicare).
Find A Medigap Plan That's Right For You
A licensed insurance agent can help you determine whether or not you are eligible for a Medigap policy and help you enroll in a plan that's right for your personal needs and budget.