Senior Healthcare Advisors Blog
Let’s take a close look at Medicare Supplement Plans also known as (Medigap) plans and review costs and coverage in easy to understand language. As you read on you’ll begin to understand the differences in coverage that each supplement plan letter offers. You’ll also have the opportunity to get real time online quotes and side by side comparisons for each plan offered in your area.
Before we get started it's important to know the difference between the parts of Medicare and Medicare Supplement Plan Letters.
Medicare is divided into four parts as follows:
Medicare Supplement Plans are lettered A through N and each plan provides different coverage that help to fill some or all of the gaps that Original Medicare doesn’t cover.
As you’ll learn, some Medicare supplement plans have higher premiums for more coverage. Other plans have a lower premium with the understanding that you will pay a portion of the gaps that are not covered.
Although you’ll probably still have important questions to be answered after you read this, the supplement plan comparison chart below is a great way to get started.
The Benefits of Having a Medicare Supplement Plan
Which Medicare Supplement Plan is the Best?
Plan F, G and C are the three most comprehensive Medigap plans. As seen in the comparison chart, Plan F covers 100% of any and all costs that Original Medicare doesn’t cover. Plan G and Plan C are similar to Plan F when it comes to filling the gaps left by Original Medicare.
Let’s briefly summarize each plan letter and what they cover starting with the more popular ones.
Medigap Plan F
As mentioned above, Medigap Plan F is the most comprehensive plan offered and covers 100% of any and all costs that Original Medicare doesn’t. Many policy holders get significant peace of mind knowing that they will never pay any out-of-pocket costs with this plan. Things to remember about Plan F is that it has the highest premium amounts and it will be discontinued by the Federal Government in the year 2020, which may drive the premiums even higher between now and then.
Medigap Plan G
Medigap Plan G is similar to Plan F and also provides 100% coverage with one exception. There is a $183 annual deductible with this plan. Plan G is considered by many to be the most effective plan today as it has lower premiums than Plan F and essentially covers all out-of-pocket expenses, other than the Original Medicare Part B $183 annual deductible.
Medigap Plan C
Medigap Plan C (not to be confused with Medicare Part C) stands out as another comprehensive plan. Like Plan G It provides 100% coverage with one exception. It does not cover Original Medicare Part B excess charges. Excess charges are amounts that are over and above Medicare assigned rates or what Medicare allows.
Medigap Plan N
In exchange for lower premiums Medigap N is not as comprehensive as the plans we just discussed. Medigap Plan N does not cover co-pays for specific things like a specialist or emergency room visits, nor does it cover Part B excess charges.
Excess charges are amounts charged that are over and above Medicare assigned rates. These “approved amounts” may seem reasonable to Medicare, but they are often considerably less than what doctors actually charge.
Medigap Plans A, K, L and M
In exchange for even lower premiums, these plans are the least comprehensive.
Which Medicare Supplement Plan is Best for You?
As you can see, there is no "one size fits all" with Medigap Plans. We suggest you do some research and speak with a Medicare Expert before choosing a plan to see if it make sense for you.
Medicare Supplement Plans have standardized benefits across each Plan Letter. For example, a Medigap Plan F has the exact same benefits regardless of which state you live in or which insurance company you buy it from (exceptions are MA, MN and WI).
So, once you’ve decided on the Plan Letter that best suits your health care needs, the only decision left is to find the best price.
Compare Medicare Supplement Rates and Plans
The quickest way to get an idea of the cost of Medicare Supplement Plans in your area is to use an online quote service such as our Senior Healthcare Advisors pricing tool.
Simply answer a few general questions and you’ll get real time quotes instantly.
Before you buy a plan make sure you speak to one of our licensed “independent” Insurance agents, rather than spending all of your time speaking to agents that represent just one specific Insurance Company.
An agent that works for a specific insurer is known as a “captive agent” and while they may seem helpful, their advice may not be objective, because they can only offer plans that their company promotes. Additionally, a “captive agent” will add their commission to the price of the policy which makes it much more expensive than it should be.
However, our agents work with 25 of the top A rated insurance companies and by law, they can’t tack on a commission to the price of a policy, which means you’ll pay the same premium regardless of whether you buy through them or direct from the insurance company. Bottom line is our agents can offer you more choices, meaning you’ll get a better fit for a lower price.
Our agents will walk you through the various Plan Letters and pinpoint which one best suits your lifestyle and health needs. Additionally, they will help you set up your Part D prescription plan free of charge.
As mentioned above, our agents are appointed with 25 of the top A rated Insurance Companies which allows them to shop for the best available price for you and provide you with a 5 year forecast of rate increases posted by each carrier.
Get your free online quotes and medicare supplement cost comparisons by tapping the button below.
Or, for more information about Medicare Plans
Call Senior Healthcare Advisors at (888) 357 5020.