Compare Medicare Supplement Plans

There are 10 different Medicare Supplement plans, identified by the letters A through D, F,G, and K through N.  These plans have been standardized since 1992 with the passing of the Omnibus Reconciliation Act of 1990.  This means each Medigap plan must offer the same benefits, no matter which insurance company sells it.  So a Plan F sold by company X is the same as a Plan F sold by company Y.  For more on when to buy, change or choose a Medigap plan see What is a Medicare Supplement?

Keep the following points in mind as you look at the Medigap plan table below:

• • Plans C and F will no longer be available to purchase for those people who turn 65 on or after January 1, 2020
  • If you are covered by Plan C or F prior to January 1, 2020, you can keep your plan if you want to.
  • Likewise, if you turned 65 prior to January 1, 2020, you can still buy Plans C and F by undergoing the normal medical underwriting procedure.
  • If a box in the chart is empty, that means the Medigap plan doesn’t cover it.  If the box contains a percentage, that tells you what percentage of the cost will be paid by the plan, and you pay the remaining percentage.

*Plans F and G also offer a high-deductible plan in some states.  With this option, you must pay for Medicare-covered costs (coinsurance, copayments, and deductibles) up to the deductible amount of $2,340 in 2020 before your policy pays anything.  (Plans C and F won’t be available to people who are newly eligible for Medicare on or after January 1, 2020.)

**For Plans K and L, after you meet your out-of-pocket yearly limit and your yearly Part B deductible ($198 in 2020), 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 copayment of up to $20 for some office visits and up to a $50 copayment for emergency room visits that don’t result in an inpatient admission.

Which Medicare Supplement plans are the most popular?

The following table show the percentage of Medicare beneficiaries enrolled in each Medigap plan and the percentage changes in enrollment as of 2017.

Table data courtesy of AHIP.

*Plans E, H, I, J are no longer available to buy.

Medigap plans F, G and N

Plans F, G and N account for nearly 80% of all Medigap plan enrollments.  Plan F has the most enrollees at 55%, with Plan G following at 13% and Plan N at 10%.  However, the rate of enrollee growth in Plan F has slowed substantially in recent years.  This will only continue with the MACRA legislative changes that went into effect January 1, 2020.  On the other hand, Plan G and N have shown strong increases in enrollment in recent years.  The table to the right is a head to head comparison of the three most popular plans.

Plan F

Plan F is the most comprehensive and expensive Medigap plan.  As such, it’s not always the best value.  It is often touted as the “best plan”, but more accurately, it is the plan with the most coverage.  You should shop for an alternate plan if this extra coverage comes at too high of a cost.  On the other hand, some people enjoy the hassle free experience of owning a Plan F.

Plan G

Plan G is the most similar plan to Plan F.  The only difference between plan G and Plan F is that Plan G doesn’t pay the Part B deductible.  Plan G can often times be a better value than Plan F based on the premium differences between the two relative to the Part B deductible.

Plan N

Plan N is the newest Medigap plan, arriving in 2010.  It covers less than plan F and plan G.  However, Plan N is the least expensive and often times the best value.  Like Plan G, Plan N doesn’t pay the Part B deductible.  It also doesn’t pay Part B excess charges, if there are any.  There is a copay of up to $20 for some office visits.  In addition, there is an up to $50 copay for emergency room visits that don’t result in an inpatient admission.

Plan N and excess charges

How do you avoid Plan N’s exposure to Medicare Part B excess charges?  The first thing to remember is that Part B excess charges are rare.  Only 4% of physicians and practitioners registered with Medicare are allowed to charge an excess charge, according to the Kaiser Family Foundation.  These providers are called non-participating providers.

The second thing to remember is that excess charges are easily avoided.  They can only be charged by those medical providers that don’t accept Medicare assignment.  The best way to find out if your provider accepts assignment is on the physician compare page of the Medicare.gov website.  You can also simply call your provider and ask if they accept Medicare assignment.

*Plan N pays 100% of the Part B coinsurance, except for a copayment of up to $20 for some office visits and up to a $50 copayment for emergency room visits that don’t result in an inpatient admission.