Choosing A Medicare Supplement Plan: The Best Medigap Plans & How To Pick

• Medicare supplement plans, commonly referred to as Medigap, cover costs that the federal Medicare program (Original Medicare) doesn’t, such as deductibles and copays.
• There are eleven different types of Medigap plans. While each plan type must offer the same coverage across locations and insurance providers, prices can vary. 
• The best Medigap plan differs based on an individual’s budget, health needs, and lifestyle. 

While original Medicare covers the basics, many recipients need additional help paying out-of-pocket costs for certain covered services and medical expenses. To accommodate, private insurance companies offer Medicare supplemental health coverage, commonly called Medigap. These plans help cover additional costs of Medicare-approved services, such as hospital copays, doctor visits, or blood transfusions.

Medigap is an umbrella term, and there are eleven plan types someone can get through a private insurance company. Furthermore, each state can elect not to offer all eleven plans, and costs vary depending on location. To determine the best Medicare supplement plan, let’s look at each plan type, as well as resources to help choose the right one. 

Medicare supplement insurance is designed for those who have an original Medicare plan covering Medicare parts A and B services. Original Medicare will cover a Medicare-approved amount of your costs, while Medigap plans help pay leftover costs like prescription costs, deductibles, coinsurance, copayments, and more.

They can also cover additional health care expenses and services not covered under Medicare, such as such as emergency care when traveling out of the country. 

Currently, eleven types of Medigap plans exist: A, B, C, D, F, G, K, L, M, N and Medicare SELECT. Not all plans are available to new Medicare members, and some have higher costs than others. 

While these plans are offered by private health insurance companies, they must follow strict federal government guidelines to offer quality care to policyholders. Individual states and districts can also determine which plans are offered and what extra benefits plans should cover.

Medigap vs. Medicare Advantage

Often, people confuse Medigap and Medicare Advantage. While these offerings share some similarities, such as filling in the gaps of original Medicare coverage, they are not the same. 

Medicare Advantage (MA) plans bundle parts A and B while offering additional coverage for part D prescription drug coverage, dental care, hearing care, and more. At a minimum, MA plans must cover everything Original Medicare does. Typically, they cover more than Medigap, covering costs for wellness extras, hearing aids, gym memberships, drug costs at preferred pharmacies, and other health expenses.

In contrast, a Medigap policy is purely supplemental and doesn’t cover parts A and B. It also won’t offer prescription drug coverage while many Medicare Advantage plans do.

Note: Though both supplement Original Medicare coverage, it’s also not possible to utilize a Medigap and Medicare Advantage together. Medigap is also not compatible with Medicaid services.

As mentioned, there are eleven different Medigap plan types. Plans A‑G and K‑N offer the same Medigap coverage, regardless of location or chosen insurance company, though average prices vary by state. Medicare SELECT is an affordable option as well, though its coverage is more limited than the others. 

Here is a quick overview of all the Medigap plan benefits:

Plan A

Plan A covers parts A and B coinsurance and copayments, the first three pints of blood if someone needs a blood transfusion, and part A hospice care coinsurance and copayments.

Plan B

Similar to Plan A, Plan B covers parts A and B coinsurance and copayments, the first three pints of blood, part A hospice care coinsurance and copayments. It also covers the part A annual deductible if a plan holder pays one.

Plan C

Along with covering parts A and B coinsurance and copayments, this plan covers the first three pints of blood, and part A hospice care costs. It also covers 80% of foreign care costs, creating a cost-sharing model for foreign travel emergencies. It also covers the deductibles for part A and B. 

Note: Plans C and F are not available to anyone who became eligible for Medicare after January 1, 2020.

Plan D

Plan D covers the coinsurance and copayments for part A and B, the first three pints of blood, and part A hospice care coinsurance and copayments. Similar to Plan C, it also covers the part A deductible and 80% of foreign care costs, but it doesn’t cover the part B deductible. 

Plan F

Like the above plans, plan F covers coinsurance and copayments for parts A and B, part A hospice care coinsurance and copayments, and the first three pints of blood. It also covers the part A hospital deductible and the part B deductible, 80% of foreign care, and the part B excess charge. 

Typically, Plan F is the most expensive Medicare supplement plan. It is only available to those who turned 65 before January 1^st, 2020. 

Plan G

Plan G covers the part B excess charge, the coinsurance and copayments for parts A and B, part A hospice care coinsurance and copayments, and the first three pints of blood. It also covers the part A deductible and 80% of foreign care.

Plan K

Plan K covers all part A coinsurance and copayments, but only 50% of part B coinsurance and copayments. This plan only covers 50% of the first three pints of blood, part A hospice care coinsurance and copayments, skilled nursing facility coinsurance, and the part A deductible.

This plan also has an out-of-pocket limit, which is $8000 in 2026 and could be considered a high-deductible plan. Plan K is a popular Medicare supplement plan for those on a budget since it often has the lowest monthly premium. 

Plan L

While this plan covers all part A copayments and coinsurance, it only covers 75% of part B’s. It also covers 75% of the first three pints of blood, part A hospice care coinsurance and copayments, skilled nursing facility coinsurance, and the part A deductible.

This plan has an out-of-pocket maximum of $4000 in 2026 and is usually the second most affordable option, after Plan K.

Plan M

Plan M covers all coinsurance and copayments for parts A and B, the first three pints of blood, skilled nursing coinsurance, and part A hospice care coinsurance and copayments. It also covers 50% of the part A deductible and 80% of foreign healthcare costs.

Plan N

Plan N covers coinsurance and copayments for parts A and B, except for copayments for some office and emergency room visits. The copayments can vary depending on the reason for the visit and the policy. The maximum amount someone will pay is $20 for an office visit and $50 for emergency room visits that don’t result in inpatient admissions. 

It also includes coverage for the first three pints of blood, skilled nursing coinsurance, part A hospice care coinsurance and copayments, and the part A deductible. 80% of healthcare costs abroad are covered by this plan. 

Medicare SELECT

In many states, Medicare SELECT is the most affordable Medigap option. With this Medigap plan type, individuals must use certain hospitals and, sometimes, doctors, and often pay lower premiums. 

There is a SELECT version of plans A‑G and K‑N. That means, for example, someone could choose Medigap plan G, and its SELECT version would cover the same benefits, though there would be more restrictions on what hospitals and doctors are covered. 

Medigap eligibility requirements are similar to Original Medicare’s. The first, and most important qualifier, is an individual must be 65 or older. However, there are special circumstances that allow those under 65 to qualify, including when one has end-stage renal disease, a spouse with medicare eligibility, or a qualifying disability.

To qualify for Medigap, someone must have an original Medicare plan covering parts A and B. They cannot have a Medicare Advantage plan. 

Medigap plan costs vary greatly, and two people with the same plan type won’t always pay the same monthly premium. Medicare approved insurance companies determine price through location and three approved ways:

• Community-rated: everyone is charged the same, regardless of age or health status. Prices can differ with inflation, but not based on individual characteristics.
• Issue-age-related: monthly premiums are determined by age at enrollment. The lower someone’s age, the lower the premium. Once locked into a plan, the premium cannot increase with age, though it can with inflation. 
• Attained-age-related: the price is set by someone’s current age and can increase as they get older or due to inflation. 

When looking at premiums, it’s important to note plans priced by attained age may appear affordable at first but will increase as someone ages. Plans that price through that community-related or issue-age-related structure may offer more competitive rates for medical care in the long run. 

Note: Medigap is a separate cost from Original Medicare premiums. 

Medigap Discounts

Some insurance companies also offer several discounts for Medigap plans. Common ones include Medigap discounts for women, non-smokers, and those who pay annually or via electronic funds transfer. There may also be a household discount based on someone’s marital status. 

Choosing the best Medicare supplement plan is a highly personal process. What works for one person may not work for another, and individuals should consider their health needs and budgets when choosing a policy. Fortunately, there are tools and resources to make the decision easier. 

Use Medicare’s Plan Comparison Tool

When researching, one of the best ways to compare options is with Medicare’s comparison tool. After entering a location and the plan type, the tool populates available options, listing the monthly costs, deductibles, copays, and services covered for each.

Consult a Licensed Insurance Agent

Reading over Medigap policies can be confusing. For extra guidance on the best Medicare supplement plans and to understand what different benefits and pricing structures mean, consult a licensed insurance agent. 

Licensed insurance commissioners must follow strict rules, which are outlined on the Medicare website. Important guidelines to keep in mind are that agents cannot contact an individual first or show up at their home uninvited. 

Once an individual has contacted an agent, the agent should set up a meeting where they can provide information and answer questions about the plans the individual wishes to discuss. For more on what these meetings entail, check out this resource. 

Compare Plan Benefits 

After talking with a licensed agent and using the Medicare comparison tool, it’s time to compare benefits against individual needs. Before choosing a plan, make sure any out-of-pocket expenses, deductibles, and benefits align with health needs and budget. Asking yourself how much coverage you need, what Medicare-covered services you need additional help paying for, and how much you can pay for certain services are all things to consider when selecting a Medigap plan.

It’s also important to note what doctors, practices, and hospitals are covered under each plan. If, for example, someone has a great relationship with their primary care physician, they should search for a plan that covers that doctor. 

Ask Questions

Throughout this process, individuals are encouraged to ask questions. Medicare can be confusing, and professionals and loved ones can offer personalized advice on different plans. It’s important to ask for complete details on what plans are offered and what they cover, what each plan’s limits are, what the benefits offered are, and anything else that might relate to your specific financial and medical situations.

If someone has questions, they can:

• Contact Medicare directly
• Call State Health Insurance Assistance Program (SHIP)
• Speak with friends and family, especially for questions related to customer satisfaction
• Contact individual insurance companies

Once someone decides on the best plan for their health needs and budget, it’s time to enroll. There are three windows of enrollment:

• Initial Enrollment: once someone is enrolled in Medicare part B, they have six months to choose a Medigap plan. Often, new Medicare enrollees have the widest variety of plans and prices.
• Medigap Open Enrollment Period: from November 1^st to January 15^th, it’s possible to enroll in a Medigap plan as part of open enrollment. Unlike during the initial enrollment period, Medigap plans sold during this period can be harder to purchase, since companies can add more stipulations.
• Outside of Open Enrollment: An insurance company may sell a Medigap plan outside of open enrollment if there’s an extenuating circumstance. However, there is no guarantee that someone can get a Medigap plan outside of open enrollment.

Note: to assess current Medigap plan eligibility, check out this resource.