What is Medicare Supplement (Medigap) Insurance?
A Medicare Supplement (Medigap) insurance, sold by private companies, can help pay some of the health care costs that Original Medicare doesn't cover, like co-payments, coinsurance, and deductibles.
If you have Original Medicare and you buy a Medigap policy, Medicare will pay its share of the Medicare-approved amount for covered health care costs. Your Medigap policy pays its share.
A Medigap policy is different from a Medicare Advantage Plan. Those plans are ways to get Medicare benefits, while a Medigap policy only supplements your Original Medicare benefits.
What You Need to Know About Medicare Supplement Policies
- You must have Medicare Part A and Part B.
- If you have a Medicare Advantage Plan, you can switch to a Medicare Supplement insurance policy during certain enrollment periods or if you meet certain criteria (underwriting may apply), but make sure you can leave the Medicare Advantage Plan before your Medicare Supplement insurance policy begins.
- You pay the private insurance company a monthly premium for your Medicare Supplement insurance policy in addition to the monthly Part B premium that you pay to Medicare.
- A Medigap policy only covers one person. If you and your spouse both want Medigap coverage, you'll each have to buy separate policies.
- You can buy a Medicare Supplement insurance policy from any insurance company that's licensed in your state to sell one.
- Any standardized Medicare Supplement insurance policy is guaranteed renewable even if you have health problems. This means the insurance company can't cancel your Medicare Supplement insurance policy as long as you pay the premium.
- Medicare Supplement insurance policies sold after January 1, 2006, aren't allowed to include prescription drug coverage. If you want prescription drug coverage, you can join a Medicare Prescription Drug Plan (Part D).
- It's illegal for anyone to sell you a Medigap policy if you have a Medicare Advantage Plan, unless you're switching back to Original Medicare.
Compare Medicare Supplement Plans Side by Side
Medicare Supplement policies (also known as Medigap policies) are standardized and must follow federal and state laws designed to protect you. Insurance companies can only sell you a "standardized" policy identified in most states by letters (see the chart below).
All policies offer the same basic benefits, but some offer additional benefits, so you can choose which one meets your needs. As you can see in the comparison chart, there are many options. As licensed insurance agents, we can help you understand the differences between the plans so that you can decide on the right plan for you.
In Massachusetts, Minnesota, and Wisconsin, Medigap policies are standardized in different ways.
Did you know that each insurance company decides which Medigap policies it wants to sell, although state laws might affect which ones they offer? Insurance companies that sell Medigap policies:
- Don't have to offer every Medigap plan
- Must offer Medigap Plan A if they offer any Medigap policy
- Must also offer Plan C or Plan F if they offer any plan
Keep in mind that the Medicare Supplement policy covers co-insurance after you've paid the deductible (unless the Medigap policy also pays the deductible).
Medicare Supplement
Compare Medicare Supplement Plans Side-By-Side
The chart below shows basic information about the different benefits Medigap policies cover.
Crossed Out = the policy doesn't cover that benefit
% = the plan covers that percentage of this benefit
N/A = not applicable
Plan A
- Part A coinsurance and hospital costs up to an additional 365 days after Medicare benefits are used up.
- Part B: coinsurance or co-payment
- Blood (first 3 pints)
- Part A hospice care coinsurance or co-payment
- Skilled nursing facility care coinsurance
- Part A deductible
- Part B deductible
- Part B Excess charge
- Foreign travel exchange (up to plan limits)
- Out-of-pocket limit**: N/A
Plan B
- Part A coinsurance and hospital costs up to an additional 365 days after Medicare benefits are used up.
- Part B: coinsurance or co-payment
- Blood (first 3 pints)
- Part A hospice care coinsurance or co-payment
- Skilled nursing facility care coinsurance
- Part A deductible
- Part B deductible
- Part B Excess charge
- Foreign travel exchange (up to plan limits)
- Out-of-pocket limit**: N/A
Plan C
- Part A coinsurance and hospital costs up to an additional 365 days after Medicare benefits are used up.
- Part B: coinsurance or co-payment
- Blood (first 3 pints)
- Part A hospice care coinsurance or co-payment
- Skilled nursing facility care coinsurance
- Part A deductible
- Part B deductible
- Part B Excess charge
- Foreign travel exchange (up to plan limits): 80%
- Out-of-pocket limit**: N/A
Plan D
- Part A coinsurance and hospital costs up to an additional 365 days after Medicare benefits are used up.
- Part B: coinsurance or co-payment
- Blood (first 3 pints)
- Part A hospice care coinsurance or co-payment
- Skilled nursing facility care coinsurance
- Part A deductible
- Part B deductible
- Part B Excess charge
- Foreign travel exchange (up to plan limits): 80%
- Out-of-pocket limit**: N/A
Plan F*
- Part A coinsurance and hospital costs up to an additional 365 days after Medicare benefits are used up.
- Part B: coinsurance or co-payment
- Blood (first 3 pints)
- Part A hospice care coinsurance or co-payment
- Skilled nursing facility care coinsurance
- Part A deductible
- Part B deductible
- Part B Excess charge
- Foreign travel exchange (up to plan limits): 80%
- Out-of-pocket limit**: N/A
Plan G*
- Part A coinsurance and hospital costs up to an additional 365 days after Medicare benefits are used up.
- Part B: coinsurance or co-payment
- Blood (first 3 pints)
- Part A hospice care coinsurance or co-payment
- Skilled nursing facility care coinsurance
- Part A deductible
- Part B deductible
- Part B Excess charge
- Foreign travel exchange (up to plan limits): 80%
- Out-of-pocket limit**: N/A
Plan K
- Part A coinsurance and hospital costs up to an additional 365 days after Medicare benefits are used up.
- Part B coinsurance or co-payment: 50%
- Blood (first 3 pints): 50%
- Part A hospice care coinsurance or co-payment: 50%
- Skilled nursing facility care coinsurance: 50%
- Part A deductible: 50%
- Part B deductible
- Part B Excess charge
- Foreign travel exchange (up to plan limits)
- Out-of-pocket limit**: $7,060 in 2024
Plan L
- Part A coinsurance and hospital costs up to an additional 365 days after Medicare benefits are used up.
- Part B coinsurance or co-payment: 75%
- Blood (first 3 pints): 75%
- Part A hospice care coinsurance or co-payment: 75%
- Skilled nursing facility care coinsurance: 75%
- Part A deductible: 75%
- Part B deductible
- Part B Excess charge
- Foreign travel exchange (up to plan limits)
- Out-of-pocket limit**: $3,530 in 2024
Plan M
- Part A coinsurance and hospital costs up to an additional 365 days after Medicare benefits are used up.
- Part B: coinsurance or co-payment
- Blood (first 3 pints)
- Part A hospice care coinsurance or co-payment
- Skilled nursing facility care coinsurance
- Part A deductible: 50%
- Part B deductible
- Part B Excess charge
- Foreign travel exchange (up to plan limits): 80%
- Out-of-pocket limit**: N/A
Plan N
- Part A coinsurance and hospital costs up to an additional 365 days after Medicare benefits are used up.
- Part B coinsurance or co-payment ***
- Blood (first 3 pints)
- Part A hospice care coinsurance or co-payment ***
- Skilled nursing facility care coinsurance
- Part A deductible
- Part B deductible
- Part B Excess charge
- Foreign travel exchange (up to plan limits): 80%
- Out-of-pocket limit**: N/A
Medigap Plan Coverage Details
* Plans F and G also offer a high-deductible plan in some states. With this option, you must pay for Medicare-covered costs (coinsurance, co-payments, and deductibles) up to the deductible amount of $2,800 in 2024 before your policy pays anything. (Plans C and F aren't available to people who were newly eligible for Medicare on or after January 1, 2020, or were eligible for Medicare before January 1, 2020, but are not yet enrolled.)
** For Plans K and L, after you meet your out-of-pocket yearly limit and your yearly Part B deductible, the Medigap plan pays 100% of covered services for the rest of the calendar year.
*** Plan N pays 100% of the Part B coinsurance, except for a co-payment of up to $20 for some office visits and up to a $50 co-payment for emergency room visits that don't result in inpatient admission.