Medigap plans take care of the costs that would normally be left up to you after Medicare has paid its share. They fill in the “gaps”. Not all Medigap plans are one and the same, as Medicare policyholders interested in this plan have 10 different options to choose from. Most are limited to covering just a few types of medical costs, but none are as comprehensive as Medigap plans F, G, and N.
Ranking Medigap coverage
These are the out-of-pocket costs that a Medigap plan can potentially cover:
- Part A hospital costs or coinsurance
- Skilled nursing facility coinsurance
- Hospice coinsurance or copayment
- First three pints of blood
- 80% of foreign travel emergency costs
- Part A deductible
- Part B deductible
- Part B excess charges
- Part B coinsurance or copayment
1) Medigap Plan F
Only one Medigap plan covers every item in this category – Medigap Plan F. Plan F exclusive to seniors who turned 65 before January 1, 2020. The reason for this is that Medigap plans are no longer permitted to cover the Medicare Part B deductible and has been phased out. But historically, Plan F has been the prevailing favorite among Medicare policyholders for many years.
2) Medigap Plan G
Medigap Plan G is the second-most comprehensive of the three, covering all except for the Medicare Part B deductible. For someone who would have gotten Plan F but is not able to do so due to age, then this is the best option.
3) Medigap Plan N
Lastly, Medigap Plan N is missing full coverage for Medicare Part B’s deductible and excess charges. It’s also distinguished by its non-guaranteed full coverage for Medicare coinsurance or copayment. Its Part B coinsurance or copayment coverage depends on the situation. Sometimes it will cover all remaining costs. Other times, outpatient visits can result in a copay of up to $20, and hospital visits in which there is no inpatient admission can cost up to $50 in copay.
Comparing the three
All of these Medigap plans can save you tons on out-of-pocket costs. It’s a matter of where your priorities lie, and what type of plan is possible for you to get. If you’re just now turning 65, you’re limited to two options, and it’s up to you to decide. If you want the closest thing to Plan F, then Plan G is the best choice. But if you’re someone who doesn’t mind the copayments and possible Part B excess charges, then Medigap Plan N is for you.
To put into more perspective on how popular Medigap is, in Florida, there are over 900,000 people who were enrolled in Medigap. In Alabama, there are over 600,000 people enrolled in Original Medicare, which may also include the number of people enrolled in Medigap.
Get started today
Sunsurance Agency provides services to several locations – Dothan and Enterprise in Alabama, and Tallahassee, Pensacola, and Pace in Florida. We give you the information with nothing out-of-pocket. Call us today at 334-441-3905.