Our Mission is to Become America’s Most Respected
Medicare Insurance Brokerage …

Treating clients as if they were our own family members

Medicare Supplement Plan G

Medicare Supplement Plan G (Medigap Plan G) has been the second most popular policy available among the 10 standardized plans (next to Plan F) and is also one of the most comprehensive. Although due to recent legislation it is now becoming the most popular choice for new and existing Medicare supplement enrollments.

But before we move on to discussing the benefits of Plan G, it is important to point out that Medigap is an optional add-on to your existing Medicare insurance policy. It is offered through private insurance companies and, while the benefits and inclusions are standard across all participating U.S. states, their prices can vary according to the company. Medigap is named like so because it covers expenses (or gaps) that are not included or go beyond the limits of your Medicare Part A and Part B. That said, you may shop for a Medicare Supplement only if you already have Part A and Part B.

The Role of Medigap Part G in Supplementing Medicare

What does Medicare Part A and Part B include and why would you need to supplement it with Plan G (or any other Medigap policy)? These are the first two questions people approaching the age of 65 years old ask.

Medicare A Part A refers to hospital insurance, covering care in skilled nursing facility, hospice care, some types of home health care, and inpatient hospital stays. Medicare Part B refers to medical insurance, covering outpatient care, certain doctors’ fees, medical supplies, and preventive services.

The role of Medigap is to help policy holders finance out-of-pocket costs for services that are covered by the original Medicare. Typically, Medicare shoulders up to 80 percent of medical expenses, depending on the nature, and then Medigap takes care of the remaining 20 percent. The result is a zero bill for the plan holder. Having Medicare plus Medigap is particularly important for those in their older years because it is more likely that people at this stage of life are already retired and do not have a regular source of work income.

Plan G Medicare Supplement is available in all U.S. states, except Massachusetts, Minnesota, and Wisconsin, which have their own versions of Medigap.

Medicare Supplement Plan G Benefits

Medigap Benefits	Plan G
Medicare Part A coinsurance & copayment – up to an additional 365 days are Medicare benefits are exhausted	x
Medicare Part B coinsurance or copayment	x
Part A Hospice Care coinsurance or copayment	x
Medicare Part A deductible	x
Medicare Part B deductible
Skilled nursing facility coinsurance	x
Medicare Part B excess charges	x
Blood (first 3 pints)	x
Foreign travel emergency (up to plan limits)	x

What You Should Know Before Considering Medigap Plan G

Foreign Travel

Medigap Plan G’s coverage for emergencies that happen when you travel outside of the U.S. goes as high as 80 percent of the approved costs after a $250 deductible up to a maximum of $50,000. This means that if you have a medical issue during your trip, you can rest assured that you are still covered. Take note that not all Medigap policies offer this.

Part B Deductible

Also, as mentioned earlier, Plan G is a lot like Plan F, except that Plan G does not cover the standard annual Medicare Part B deductible ($183 in 2018). In short, Medigap Plan G will only cover expenses after the first $183. After the $183 Plan G will cover all the remaining costs. Medicare will pay for 80 percent and the supplement will pay the other 20 percent plus excess charges.

Excess Charges

Another huge plus in favor of Plan G is that it covers the so-called Part B “excess charges.” This is the amount that goes beyond what Medicare approves for doctors’ fess and hospital procedures. As standard, the excess charge has a ceiling of 15 percent above what Medicare has approved. For example, if you seek medical services from a provider that is not a member of Medicare, that provider is allowed to charge you up to 15 percent more than Medicare’s standard rates. Because Plan G covers excess charges, then you basically do not have to pay anything.

Points to Remember

Medicare Supplement Plan G is not always available with every company. Private insurance providers have the choice to offer only the plans that they believe people would be most interested in, so be sure to ask around first if the insurers in your area offer Plan G. Since this policy is one of the most popular because of its wide coverage, it will probably be on the top of the roster.

Medicare Supplement Plan G prices are not the same across all areas. While the benefits that come with Medigap Plan G are standard and unchanging, their prices can be adjusted according to the company offering the plan.

Why You Should Consider Medicare Supplement Plan G

Compared to its almost-identical twin (Plan F), Medigap Plan G has lower premiums because it does not require you to pay for the $183 annual Part B deductible. When you shop around for differences in pricing between the two Plans, you will find an average $20 – $50 difference per month, which sums up to $240 to $600 per year in savings. Skipping coverage for a $183 deductible seems like a smarter decision than spending an additional $240 to $600 per year for a Plan that basically provides the same benefits.

The best time to enroll for Medicare supplement Plan G is during the Open Enrollment period, which is the six-month duration after you turn 65 years old. During this time, you can choose any Medigap plan that you want without being subjected to any medical underwriting. This means that insurance companies cannot decline your application or a charge a different premium because of your health status even if you have a pre-existing medical condition. If you go beyond the six-month grace period, the insurance provider can do both and you might not be able to buy any Medicare Supplement.

If you are currently enrolled in a Medigap Plan and would like to switch to Plan G, you can do so if you qualify and go through underwriting. Certain companies and states allow you to change without underwriting.

Our Mission is to Become America’s Most Respected Medicare Insurance Brokerage …