Comparing Medicare Supplement Insurance Plans

Medicare Supplement Insurance, also referred to as Medigap, helps cover some of the out-of-pocket health care costs not covered by Original Medicare.

For a monthly premium, Medicare beneficiaries can purchase a Medigap policy from private insurance companies. Follow these five simple steps to determine which plan option fits your unique needs and budget.

Step 1: Determine What Benefits You Need

In most states, there are 10 standardized Medigap plan types — labeled A, B, C, D, F, G, K, L, M and N.

Important: Plan F and Plan C are not available to beneficiaries who became eligible for Medicare on or after January 1, 2020.

Because plans are standardized, the basic benefits of each labeled plan are the same no matter which company you buy your plan from. However, each plan type offers a different variation of health benefits and level of coverage.

Depending on the plan you choose, your policy will cover a combination of the following Medicare-related expenses:

• Medicare Part A coinsurance and hospital costs
• Medicare Part B coinsurance or copayment
• First three pints of blood for blood transfusion 
• Part A hospice care coinsurance or copayments
• Medicare Part A deductible
• Medicare Part B deductible
• Medicare Part B excess charges
• Skilled nursing facility care coinsurance
• Foreign travel emergency care

The first four basic benefits listed above are covered (at least in part) by every Medigap plan. The other five benefits may or may not be covered, depending on which policy you buy.

Compare Medigap Plans Side by Side

Below you'll find additional data to compare plans side by side, but also take a look at our medicare supplement comparison chart to help make your decision!

NOTE: Medigap policies are standardized in a different way in Massachusetts, Minnesota, and Wisconsin.

Step 2: Find Out Which Plans are Available in Your Area

Insurance companies – such as Aetna – decide which Medigap policies they want to sell, and they're not required to offer every plan.

However, if an insurance company sells Medigap, they are required by the federal government to:

• Offer Medigap Plan A
• Offer either Plan C or Plan F (some states may offer both)

To find out which plans are available in your area, speak with a licensed insurance agent or request a free plan quote comparison online.

Step 3: Decide Which Plan is Right For You

Finding the Medicare Supplement Insurance policy that's right for you will depend on your unique needs. Once you've determined what Medigap plans are offered in your area, you can start comparing the available policies that align closest with your preferred level of protection, as well as your budget.

You may find that a more comprehensive plan with a higher premium works for you. On the other hand, you may prefer a cost-sharing plan with greater out-of-pocket costs and a lower monthly premium.

There are also plans that have out-of-pocket yearly limits to protect you from extremely high expenses, and others with a high-deductible option.

Remember: how you decide to supplement your Medicare coverage is up to you — what's sufficient for one person may not be sufficient for you, and what's enough for them, may be too much for you.

Step 4: Compare Prices

Insurance companies set their own premiums and policy pricing structure, so the cost of Medigap policies can vary widely. If you're comparing plans and find that the premiums for the same plan vary from company to company — it may be that the carriers rate their premiums differently.

The rating system they use determines how much you pay initially and how much you will pay in the future. As you shop, make sure you're comparing the same Medigap policy, and asking carriers how they set their premiums.  

The chart below shows the three ways companies can price, or “rate,” their premiums.

Step 5: Purchase The Policy That Fits Your Needs

However you decide to supplement your Medicare coverage, it's important you do your research and compare your options before buying.

Whether you need help figuring out which plan fits your needs, or you're ready to purchase a policy, a licensed agent can help match you to a plan that provides the benefits you need at the best available rate. 

Or call 1-800-995-4219 to speak with a licensed insurance agent.