Medigap Plan G Supplement Insurance
Medigap Plan G helps pay your out-of-pocket costs if you have Original Medicare. It is the most comprehensive of the eight Medicare Supplement plans available to people newly eligible for Medicare. Medigap Plan G is also an alternative to Medigap Plan F which is no longer available to new enrollees.
What Does Medigap Plan G Cover?
Medigap Plan G is the most comprehensive Medicare Supplement plan currently available to people newly eligible for Original Medicare. It covers more out-of-pocket costs related to Medicare Part A and Part B than other Medicare Supplement plans.
- Medicare Part A coinsurance and hospital costs up to an additional 365 days after Original Medicare benefits are used up
- Medicare Part A deductible – $1,484 in 2021 (for each benefit period)
- Medicare Part A hospice care coinsurance or copayment
- Medicare Part B coinsurance – usually 20 percent of the Medicare-approved cost
- Medicare Part B copayments – a fixed dollar amount your doctor or other health care provider charges
- Medicare Part B excess charges – the amount a doctor or other health care provider can charge you over and above the Medicare-approved amount that a doctor can legally charge you for service
- Skilled nursing facility care coinsurance
- The first three pints of blood needed for medical procedures each year
- 80 percent of your medical costs if you receive emergency medical care while traveling in a foreign country (up to your plan’s limits)
You must be enrolled in both Medicare Part A hospital insurance and Medicare Part B medical insurance to purchase Medigap Plan G. You cannot purchase Medigap Plan G if you have — or are planning to buy — a Medicare Advantage plan.
Medigap plans are standardized in most states — meaning that Medigap Plan G policies in one state will include everything included in Plan G policies sold in other states. But not every insurer sells all Medigap plans.
What Are the Key Differences Between Medigap Plan G and Plan F?
Medigap Plan G is a possible option for people who are no longer eligible for Medicare Supplement Plan F, which used to be the most comprehensive Medigap plan.
| Medigap Plan F | Medigap Plan G |
|---|---|
| Covered the Medicare Part B medical insurance deductible, making it the most comprehensive Medigap policy prior to 2020. | Covers everything Plan F covered except the Medicare Part B deductible. |
| No longer available to anyone eligible for Medicare on or after January 1, 2020. | Available to everyone newly eligible for Medicare |
You should compare Medigap plans available in your area before buying a policy. Make sure you find a plan that best fits your health and financial needs.
How Much Does Medigap Plan G Cost?
You will have to pay a monthly premium for your Medigap Plan G policy. How much you pay depends on several factors, including your state of residence and your age at the time you purchase a Medicare Supplement plan.
The cost of your monthly premiums can vary from one insurance company to another. These companies use several methods to set their rates.
- Attained-age
- Your monthly premium will be based on your current age, meaning your cost will increase as you get older.
- Issue-age
- Your monthly premium will be based on your age when you buy the policy meaning you’ll have lower premiums if you buy at a younger age.
- Community rated
- Your monthly premium will be the same as everyone else who buys the same Plan G policy regardless of age.
Medigap Plan G high-deductible policies are also available in some states. These typically allow you to pay lower monthly premiums if you are willing to pay more out-of-pocket costs yourself.
High-deductible plans require you to pay $2,370 in Medicare deductibles, coinsurance and copayments before your Medigap Plan G policy pays for any of your costs.
You should compare your annual premium payments against your potential Plan G deductible — and consider your health care needs — to determine whether a high-deductible policy is the best choice for you.
5 Cited Research Articles
- U.S. Centers for Medicare & Medicare Services. (2020). Medicare & You 2021. Download. Retrieved from https://www.medicare.gov/sites/default/files/2020-12/10050-Medicare-and-You_0.pdf
- Bunis, D. (2020, July 6). 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
- U.S. Centers for Medicare & Medicare Services. (2020, February). Choosing a Medigap Policy: A Guide to Health Insurance for People With Medicare. Retrieved from https://www.medicare.gov/Pubs/pdf/02110-medicare-medigap-guide.pdf
- 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
- 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