Medicare Supplement Plans: The Straight Truth About Medigap

If you've spent more than five minutes researching Medicare, you've probably been hit with the same rigged comparison: "Should I get a Medicare Supplement or Medicare Advantage?"

That's the wrong question. It's a trap designed to steer you toward managed care networks.

The real choice you have to make is between Traditional Medicare (Parts A and B) and Medicare Advantage (Part C). A Medicare Supplement - also known as Medigap - isn't an alternative to Advantage. It's a component of the Traditional path.

When you choose Traditional Medicare, you stay in control. You can see any doctor in the country who accepts Medicare. You don't need permission from an insurance company to get a procedure done. But Traditional Medicare only covers about 80% of your approved medical bills. You're on the hook for the other 20%, with no cap on how high that can go.

That's where a Medicare Supplement comes in. It fills the gaps. It pays the deductibles, copays, and coinsurance that Traditional Medicare leaves behind. You're not buying a "solid coverage solution" from a "licensed agent." You're buying financial certainty. You're protecting what you've earned.

Here's how Medigap actually works.

First, you must be enrolled in Medicare Part A and Part B. Once you have those, you can buy a Medigap policy from a private insurance company.

When you have a medical bill, Medicare pays its share first. Then, it automatically sends the rest of the bill to your Medigap company, which pays its share. You never have to file a claim.

The most important thing to understand about Medigap is that the benefits are standardized by federal law. A Plan G from one company has the exact same medical benefits as a Plan G from another company. The only difference is the price and the company's track record of rate increases.

You pay a monthly premium for your Medigap policy. In exchange, you get predictable out-of-pocket costs. With the most popular plans, once you pay a small annual deductible, your covered medical bills are paid at 100%.

Let's look at the facts. There are 10 standardized Medigap plans available in most states, labeled A through N.

The three most popular plans are Plan F, Plan G, and Plan N.

Plan F: The most comprehensive plan. It covers all Medicare-approved out-of-pocket costs. However, it is only available to people who were eligible for Medicare before January 1, 2020.

Plan G: The closest thing to Plan F for new Medicare enrollees. It covers everything Plan F covers, except for the Part B annual deductible. Once you pay that deductible, Plan G covers 100% of your approved out-of-pocket costs.

Plan N: A lower-premium option. It covers most of the gaps, but you will have copays of up to $20 for some doctor visits and up to $50 for emergency room visits that don't result in an inpatient admission. You are also responsible for Part B excess charges, though these are rare.

When comparing these plans, you need to look at the monthly premium, the historical rate increases, and the financial stability of the carrier.

You've worked hard to get here. Don't let a medical bill wipe out your savings because you didn't understand how the system works.

We're on your side of the table. We'll walk you through every option, show you the real numbers, and help you find the right Medigap plan for your situation. We're licensed in all 50 states, and we don't play games.

Compare your options free, with no obligation. Let's get this handled.