Medigap Information & Resource Center

Here are 10 key facts seniors should know about Medigap insurance. Medigap is also called Medicare Supplement insurance. Around 14 million Americans have Medicare Supplement coverage to cover gaps in Original Medicare.

1. Medigap plans are offered by 30-to-40 different insurers.
2. Plans are identified by letters, Plan A – Plan
3. Four states have their own form of Medicare Supplement rules and plan.
4. In New York City, only 4 insurers offer Medicare Supplement plans.
5. But in Dallas and Houston, over 20 different insurers offer plans.
6. No insurer is always the least expensive (lowest premium).
7. Neither is one insurer consistently the most expensive.
8. Insurers will generally raise your costs as you age.
9. Switching plans and insurers may be possible, but not always.
10. Some states have Birthday Rules that benefit seniors.

Best Medigap Prices

Click to find a local Medigap insurance broker.

First decide which Medicare Supplement plan is best for you. Most seniors pick Plan G when they first enroll at age 65.

The second most popular choice is Plan N. Depending on where you live, there could be 4 insurers offering plans. Or there could be 20.

There are big insurers like UnitedHealthcare (AARP) and small ones. There are companies that just recently started selling like Allstate.

Some companies sell primarily through their own captive insurance agents. Others sell through brokers.

Comparison shopping is vital. The Association strongly recommends that you speak with at least 1 local Medicare insurance broker. We offer a free directory listing Medigap brokers. Click the link to access. Or simply enter your Zip Code in the banner on the right.

Find Key Medigap Information

Access relevant Medigap information using these links.

2024 Medicare Supplement Price Index – PLAN G. See the lowest and highest premium rates for top-10 U.S. markets.

PLAN N Price Index rates. Lowest and highest rates for top-10 U.S. cities.

Medicare Supplement insurance statistics – what plans people turning age 65 choose.

How To Find The Lowest Medicare Supplement Costs

Work With A Good Medicare Broker: He or she can compare various plans and explain the pros and cons of each. Is Plan G the best for you? Why would others consider Plan N as a way to save? What is the rate increase history for the insurance company you pick? What discounts do they offer? Those discounts range. And will you qualify for future discounts. For example, when your spouse or partner reach Medicare age.

Comparing Medigap Plans: When looking for the lowest Medicare supplement costs, it’s essential to compare different Medigap plans offered by various insurance companies. The benefits in each lettered plan are standardized, so the premium amount is the only difference between policies with the same plan letter sold by different companies. By comparing plans with the same coverage level, you can identify which company offers the most cost-effective option.

Understanding Pricing Methods: Insurance companies set prices for Medigap policies using different methods such as community-rated, issue-age-rated, or attained-age-rated pricing. Community-rated plans charge the same premium regardless of age, while issue-age-rated plans base premiums on your age at purchase, and attained-age-rated plans adjust costs as you age. Understanding these pricing methods can help you choose a plan that offers lower long-term costs based on your age and location.

Exploring Medicare Supplement Discounts and Special Offers

To find the lowest Medicare supplement costs, consider exploring discounts offered by insurance companies. Some insurers provide discounts for various factors like household arrangements, online applications, automatic payments, or bundling multiple policies. Taking advantage of these discounts can help reduce your overall premium expenses.

Enrolling During Open Enrollment Period: One of the most effective ways to secure lower Medicare supplement costs is to enroll during your Medigap open enrollment period. This initial six-month window begins when you turn 65 and enroll in Medicare Part B. During this period, insurance companies cannot use medical underwriting to determine your premium, ensuring you pay the same rate as healthier individuals. Signing up during this time frame can lead to more affordable coverage options.

By comparing plans, understanding pricing methods, exploring discounts, and enrolling during your open enrollment period, you can effectively find and secure the lowest Medicare supplement costs available to you.

Who Buys Medigap Insurance

Medigap insurance is typically purchased by retirees who prefer traditional Medicare combined with supplemental coverage. These individuals are looking for additional financial protection to help pay for out-of-pocket costs not covered by Original Medicare, such as deductibles, copayments, and coinsurance. Despite the popularity of Medicare Advantage plans in the retiree insurance market, some people still opt for Medigap policies due to various reasons.

The decision to buy Medigap insurance is often made by individuals who anticipate higher healthcare expenses or want more flexibility in choosing healthcare providers. While Medigap buyers tend to spend more on medical care annually compared to other Medicare beneficiaries, they are not necessarily less healthy; in fact, they may have lower incidences of certain chronic conditions like diabetes and cardiovascular disease.

One key factor that sets Medigap apart from Medicare Advantage plans is the ability it provides retirees to select their doctors and healthcare providers without network restrictions. This freedom of choice appeals to those who value continuity of care and wish to avoid limitations on where they can receive treatment. Additionally, Medigap policies offer predictable costs and protection against unexpected medical bills, contributing to their appeal among certain segments of the retiree population.

Overall, individuals who purchase Medigap insurance are typically seeking comprehensive coverage that complements their Original Medicare benefits and provides a sense of security against high healthcare expenses. The decision to buy a Medigap policy is often driven by a desire for greater financial certainty and control over healthcare decisions during retirement.

Find Best Medicare Supplement Plans – tips and information for seniors turn 65.