Compare Medicare Supplement Plans

That’s because a plan with more coverage can seriously reduce or even eliminate your medical costs.

For most people who are enrolling in a Medicare Supplement plan, Medigap Plan G is the best choice because it has the best coverage that's available to everyone.

Plan G can be expensive, with an average cost of $159 per month. However, that total annual cost of $1,908 means that you'll eliminate most expenses for doctors, specialists, medical tests and hospital care.

Plan A provides coverage for a few basic categories of health expenses.

The plan is best for those who want coverage for the ongoing costs of medical care and hospital treatment but who are willing to pay for deductibles, skilled nursing facilities and other categories of medical expenses.

Medigap Plan A is most similar to Plan B, but Plan A doesn't cover the deductible for hospitalization or inpatient care. This means you pay the first $1,676 of your hospital bills yourself before the plan starts covering your hospital or inpatient care.

Medigap Plan B covers all the same medical expense categories as Plan A, and it has coverage for the Part A deductible. This means Medigap Plan B is best for those who want a basic set of benefits and also expect to need hospital care.

If you have Plan B and go to the hospital, the plan will cover both the $1,676 deductible and any remaining hospital coinsurance bills, eliminating most of your costs.

Medigap Plan C has good benefits, covering every category of care except Medicare Part B excess charges. However, you can only get Plan C if you were eligible for Medicare before Jan. 1, 2020. Plan C is most similar to Plans F and G. The main difference is that Plan C doesn't cover Medicare Part B excess charges.

These charges occur in rare situations when a doctor does not accept the amount that Medicare has agreed to pay for a medical service. For example, if the Medicare-approved amount for an X-ray is $100 and the facility doesn't accept that price and wants to charge $115, the excess charge is $15.

You can avoid these charges by asking the medical provider if they accept the Medicare-approved amount (also called the assignment). If they don't accept the amount, an excess charge of up to 15% can be billed to you, or if you have coverage, it's billed to your Medigap plan.

Medigap Plan D has good overall benefits and covers your medical copayments for doctors, hospitals, skilled nursing facilities and hospice care. It also covers the Medicare Part A deductible of $1,676, the Medicare Part B deductible of $257 and 80% of medical emergency costs when traveling abroad.

Plan D has slightly better benefits than Plan N, which has some other copayments for medical care. However, Plan D is not offered as often as Plan N, and its monthly costs can be higher. As a result, there are more people enrolled in Plan N than Plan D.

Medigap Plan F has the best coverage of all the Medigap plans. However, you're only able to get it if you were eligible for Medicare before Jan. 1, 2020. If you can’t get Plan F, consider Medigap Plan G, which has coverage that's nearly as good.

Even if you qualify for Plan F, it's not always a better deal than Plan G. For example, Plan F costs, on average, $40 more per month than Plan G. However, the only extra benefit is that you'd have coverage for the Medicare Part B deductible of $257. In this case, you'd be paying $480 more per year for Plan G in order to save $257.

If the cost difference between Plan F and Plan G is less than about $21 per month, then it would be a better deal to get Plan F than Plan G.

Medigap Plan G has the best coverage available without any restrictions about who can enroll. The plan provides coverage for all categories except the Medicare Part B deductible, which is currently $257.

The only plan with better coverage is Plan F, which does cover the $257 deductible for medical care. But Plan F is only available if you were eligible for Medicare prior to 2020.

Plan G is also a popular plan that's offered by most insurance companies, which lets you shop around for a low rate. You might be able to find rates for Plan G that are cheaper than other plans with less coverage, such as Plans D and B.

Medigap Plan K has the cheapest average rates. It’s a decent option if you’re on a budget, but it generally only covers half of your share of medical bills.

For example, if you had a medical procedure that cost $1,000, Original Medicare would typically pay 80% or $800. Of the remaining 20%, or $200, Plan K would pay half. You would pay $100 and the Medigap plan would pay $100.

Plan K is a cheap way to get some coverage and reduce your medical expenses. But keep in mind that your medical costs will vary based on how much health care you use because only a portion of the Part B coinsurance is covered. The plan also has an out-of-pocket limit of $7,220. After you’ve paid that amount, Plan K will pay 100% of your covered bills. The limit prevents a situation when you need lots of medical care and your portion of the medical bills keeps adding up.

Medigap Plan L also covers a portion of medical charges, similar to Plan K. However, Plan L's benefits are at 75% for many categories, whereas Plan K's benefits are at 50%.

This means that with Plan L, a $1,000 medical bill would be split so that Original Medicare pays 80% of the costs, or $800. The remaining $200 is then split so that the Medigap plan pays $150, and you would pay $50. Plan L also has a much lower out-of-pocket maximum of $3,610.

Medigap Plan M is a midrange plan where the level of coverage falls between the cheapest and best options.

The plan covers coinsurance for hospitalization, medical care, hospice, skilled nursing facilities and 80% of medical emergencies during foreign travel.

Plan M is most similar to Plan N, except that Plan M only covers half of the Part A deductible. That means if you need hospitalization or inpatient care, the first $1,676 of the medical bills will be split between you and the Medigap plan before the Medigap plan pays all remaining coinsurance costs.

Medigap Plan N is another midrange plan. It has slightly better benefits than Plan M but worse benefits than Plan G.

Plan N has full coverage for the Part A deductible, whereas Plan M only covers half of the deductible. However, Plan N doesn't cover the Part B excess charges that are covered by Plan G. This makes Plan N a good alternative for those who want the high benefits of Plan G but are willing to forgo that coverage category in order to save on monthly costs.

Importantly, Plan N does charge some other copays for some medical care. You could pay up to $20 for some office visits and up to $50 for emergency room care that doesn't lead to being admitted to the hospital.

For example, if you spend time traveling abroad, you can focus on Medigap policies that give you coverage for emergency care during foreign travel. If this category of coverage is important to you, consider Medigap Plan C, D, F, G, M or N.

Original Medicare rarely covers emergency health care outside of the country. But some Medigap plans will pay 80% of the bill for a medically necessary emergency. There's usually a $250 deductible and a lifetime limit of $50,000. The coverage is also limited to if the emergency starts within the first 60 days of your trip, making it a good benefit for those who often travel abroad but not applicable for long-term travelers or expats.

If you expect to need care at a skilled nursing facility, you'll get the best coverage with Medigap Plan C, D, F, G or N. These plans cover 100% of the Medicare Part A deductible and the skilled nursing coinsurance.

If you expect to be entering hospice, you'll get the best coverage with Medigap Plan B, C, D, F, G or N. These plans cover 100% of the Medicare Part A deductible and the Part A hospice coinsurance.

Keep in mind that Original Medicare (Part A) already covers most hospice services, so although a Medigap plan can further reduce your expenses, it won't have as big of an impact on your wallet as coverage for hospitalization or nursing homes.

For example, if the Medicare-approved cost for respite care is $100 per day, your cost after Original Medicare would be $5 per day. That would add up to $150 for a month.

Medigap Plans F and G both have high-deductible options. These plans give you the same level of coverage as regular Plans F and G but require you to pay for the first $2,870 in medical expenses before the Medigap plan will start contributing to your health care costs.

High-deductible Medicare Supplement plans can be a good fit if you have low to moderate medical needs. Because of the deductible, you won’t have much coverage for routine medical care, but you will have coverage for an emergency.

These plans have very low prices. The high-deductible version of Plan G costs an average of $49 per month, and the high-deductible version of Plan F costs an average of $54 per month. But remember that you'll be paying out of pocket for both the insurance plan and the first $2,870 of your medical care. The $2,870 comes from your portion of medical bills after Original Medicare has paid.

For example, if you need to go to the doctor, you’ll pay the $257 Part B deductible. That counts toward your $2,870 deductible for a high-deductible Medigap plan. You’ll keep paying 20% of your medical bills until you reach $2,870, when your Medigap plan starts paying.

A Medigap Select plan requires you to go to certain doctors to have coverage, unlike regular Medicare Supplement plans that let you go to any doctor that takes Medicare. Select plans are typically offered for the more popular plans such as a Medigap Select Plan F or a Medigap Select Plan G.

A Select plan gives you the same coverage as a traditional Medigap plan but has less flexibility. If you're okay with that, or if all your doctors are in the plan’s network, a Select plan can help you keep your monthly costs down.