Medigap Plan D Supplement Insurance

Medigap Plan D is a midrange Medicare Supplement plan — about halfway between the least and most comprehensive Medigap plans. Medigap Plan D covers most Medicare-related out-of-pocket expenses but does not cover the Medicare Part B deductible or Part B excess charges.

Terry Turner, writer and researcher for RetireGuide
  • Written by
    Terry Turner

    Terry Turner

    Senior Financial Writer and Financial Wellness Facilitator

    Terry Turner has more than 30 years of journalism experience, including covering benefits, spending and congressional action on federal programs such as Social Security and Medicare. He is a Certified Financial Wellness Facilitator through the National Wellness Institute and the Foundation for Financial Wellness and a member of the Association for Financial Counseling & Planning Education (AFCPE®).

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  • Edited By
    Lee Williams
    Lee Williams, senior editor for RetireGuide.com

    Lee Williams

    Senior Financial Editor

    Lee Williams is a professional writer, editor and content strategist with 10 years of professional experience working for global and nationally recognized brands. He has contributed to Forbes, The Huffington Post, SUCCESS Magazine, AskMen.com, Electric Literature and The Wall Street Journal. His career also includes ghostwriting for Fortune 500 CEOs and published authors.

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  • Financially Reviewed By
    Shelly Coon
    Shelly Coon

    Shelly Coon

    Licensed Insurance Agent

    Shelly Coon is a specialist in Medicare insurance coverage with more than 20 years of experience in the insurance industry. She helps her clients learn about Medicare options and select the right plans for their needs.

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  • Published: June 28, 2021
  • Updated: September 19, 2022
  • 5 min read time
  • This page features 5 Cited Research Articles
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A licensed insurance professional reviewed this page for accuracy and compliance with the CMS Medicare Communications and Marketing Guidelines (MCMGs) and Medicare Advantage (MA/MAPD) and/or Medicare Prescription Drug Plans (PDP) carriers’ guidelines.

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APA Turner, T. (2022, September 19). Medigap Plan D Supplement Insurance. RetireGuide.com. Retrieved September 25, 2022, from https://www.retireguide.com/medicare/supplement-insurance/compare/medigap-plan-d/

MLA Turner, Terry. "Medigap Plan D Supplement Insurance." RetireGuide.com, 19 Sep 2022, https://www.retireguide.com/medicare/supplement-insurance/compare/medigap-plan-d/.

Chicago Turner, Terry. "Medigap Plan D Supplement Insurance." RetireGuide.com. Last modified September 19, 2022. https://www.retireguide.com/medicare/supplement-insurance/compare/medigap-plan-d/.

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What Does Medigap Plan D Cover?

Medigap Plan D — also called Medicare Supplement Plan D — helps pay your out-of-pocket costs if you have Original Medicare.

Medigap policies, such as Plan D, are sold by private insurers. The Medicare Part A and Part B out-of-pocket costs they cover include deductibles, coinsurance and copayments. They do not cover prescription drugs.

Out-of-Pocket Costs Medigap Plan D Covers
  • Medicare Part A deductible ($1,556 for each benefit period)
  • Medicare Part A coinsurance and hospital costs for up to 365 days after Original Medicare benefits are used up
  • Medicare Part B coinsurance (typically 20 percent of the Medicare-approved cost)
  • Medicare Part B copayment (typically a dollar amount set by the health care provider)
  • First three pints of blood for medical procedures each calendar year
  • Up to 80 percent of medical costs for a foreign travel emergency — up to your plan’s limits
Source: U.S. Centers for Medicare & Medicaid Services

As a midrange Medicare Supplement insurance plan, Medigap Plan D covers more than the least comprehensive plan available, but it doesn’t cover all the costs that more comprehensive Medigap policies may cover.

Out-of-Pocket Costs Not Covered by Medigap Plan D
Medicare Part B deductible
The Medicare Part B deductible is the amount you have to pay each year for medical services such as doctor visits before Medicare and Medigap Plan D kick in. The deductible is $233 in 2022.
Medicare Part B excess charges
Excess charges are the amount a doctor or other health care provider can legally charge you over and above the Medicare-approved amount.

Medigap Plan D is one of eight Medicare Supplement insurance plans available to people who are newly eligible for Medicare. Two plans — Medigap Plan C and Plan F — were phased out and are not available to anyone who became eligible for Medicare beginning on or after January 1, 2020.

Connect With a Medigap Professional
Because making a mistake could lead to penalties or the inability to get a Medicare supplement plan altogether.

All Medigap plans are standardized in most of the United States. But if you live in Massachusetts, Minnesota or Wisconsin, there are different types of standardized Medigap plans. You can talk with your insurer about options similar to Medigap Plan D if you live in one of these states.

What’s the Difference Between Medigap Plan D and Medicare Part D?

Medigap Plan D should not be confused with Medicare Part D prescription drug plans. Both are sold by private insurance companies, but they provide much different coverage.

It is important to be aware of the differences, particularly if you are looking for prescription drug coverage.

Medigap Plan D vs. Medicare Part D
Medigap (Medicare Supplement insurance) Plan D
Medigap Plan D helps pay certain out-of-pocket costs if you have Original Medicare — such as deductibles, coinsurance and copayments. Medigap Plan D does not help pay for your prescription medications.
Medicare Part D prescription drug plan
Medicare Part D plans are specifically designed to help pay for your prescription medications. These plans do not cover any out-of-pocket costs associated with Original Medicare.

Neither Original Medicare nor any Medigap plan covers prescription drugs — outside of a hospital. If you take prescription medications and want help paying for them, you will still need a Medicare Part D plan in addition to Original Medicare and any Medigap plan you purchase.

Part D prescription drug coverage is also included in most Medicare Advantage plans. These are plans you can purchase from private insurers.

Medicare Advantage plans provide the same coverage as Original Medicare but may include additional benefits. Be aware that you cannot purchase both a Medicare Advantage plan and a Medigap policy.

Methods Used to Set Medigap Plan D Monthly Premiums
Attained-age
These premiums are based on your current age, meaning your premiums will go up as you get older.
Issue-age
Your premium is based on your age when you first purchase your Medigap Plan D policy. The younger you are, the lower your premium, and the premium stays the same as you get older.
Community rated
Everyone pays the same monthly premium for the same policy, regardless of age.

Your Medigap Plan D premium has to be paid in addition to any Medicare Part A, Part B and Part D premiums you have to pay.

When Should You Buy a Medigap Plan D Policy?

The best time to purchase a Medigap Plan D is when you are first eligible — during your Medigap Open Enrollment Period (OEP). This is a six month period starting the month you turn 65.

By enrolling during your OEP, you have a guaranteed issue right — meaning insurance companies cannot use medical underwriting to deny you coverage.

Your Medigap Guaranteed Issue Rights During Your OEP
  • An insurance company must sell you any Medigap plan it offers (not all companies may offer all plans).
  • The insurer cannot charge you more for a Medigap policy than it charges someone without health problems.
  • The insurance company cannot make you wait for your coverage to start (with certain exceptions).
Source: U.S. Centers for Medicare & Medicaid Services

If you wait beyond this six-month period and are in poor health or have a preexisting condition you may be denied coverage or have to pay higher premiums for a Medigap Plan D policy.

There are, however, certain situations that will allow you to buy a Medicare Supplement Plan at any time without medical underwriting. These include relocating or living in certain states that provide additional Medigap protections.

Last Modified: September 19, 2022

5 Cited Research Articles

  1. U.S. Centers for Medicare & Medicare Services. (2022, September). Medicare & You 2023. Download. Retrieved from https://www.medicare.gov/publications/10050-Medicare-and-You.pdf
  2. Bunis, D. (2022, May 11). Medigap Plans Help Bridge Gap of Original Medicare Costs. Retrieved from https://www.aarp.org/health/medicare-insurance/info-2017/choosing-right-medigap-plan.html
  3. U.S. Centers for Medicare & Medicare Services. (2022, March). Choosing a Medigap Policy: A Guide to Health Insurance for People With Medicare. Retrieved from https://www.medicare.gov/sites/default/files/2022-03/02110-medigap-guide-health-insurance.pdf
  4. U.S. Centers for Medicare & Medicare Services. (n.d.). How to Compare Medigap Policies. Retrieved from https://www.medicare.gov/supplements-other-insurance/how-to-compare-medigap-policies
  5. U.S. Centers for Medicare & Medicare Services. (n.d.). What’s Medicare Supplement Insurance (Medigap)? Retrieved from https://www.medicare.gov/supplements-other-insurance/whats-medicare-supplement-insurance-medigap