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General Information About Medicare Supplement Plans F, G, and N Updated for 2019

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Medicare supplement plans are called Medigap plans and are designed to work in tandem with your Medicare insurance. They will cover some of the costs that Medicare won’t pick up.


There are eight major things you have to know about Medicare supplement plans:

  • 1. You must have Medicare Parts A and B
  • 2. If you’re in the Medicare Advantage program, make sure you can leave this plan before you Medigap Plan kicks in.
  • 3. You will pay an additional premium to a private insurance company along with your standard Medicare premium.
  • 4. A Medigap policy covers one person, and this means if you and your spouse both want to be included, you both have to apply to get separate policies.
  • 5. You can purchase a Medigap policy from any licensed insurance company in your state.
  • 6. Your Medigap policy is guaranteed to renew even if you have additional health problems come up.
  • 7. Medigap policies do not cover prescription drug costs.
  • 8. It is illegal for any company to sell you a Medigap policy if you have a Medicare Medical Savings Account Plan.

Medicare Part F

Medicare Part F is the most popular Medicare Supplement plan. Part F usually pays everything left over by Medicare Parts A and B, and this makes it attractive, but more expensive. Part F has a higher deductible of $2,180, and members must pay all of the costs out-of-pocket up to the deductible before this plan picks up the rest. This plan covers:

  • Medicare Part A hospital coinsurance costs
  • Also Medicare Part A hospice coinsurance
  • Medicare Part B coinsurance
  • Next Medicare Part B excess charges
  • Medicare Parts A and B deductibles
  • Skilled Nursing Facility Coinsurance
  • Foreign travel emergency costs up to 80 percent

Medicare Part G

Medicare Part G is almost identical to Part F except it doesn’t cover the Medicare Part B deductible. It will pay everything left over by Medicare Part A, and this makes it almost as attractive as Plan F for enrollees. You must pay all out-of-pocket costs up to the deductible for this plan to pick up the rest. Part G covers:

  • Medicare Part A hospital coinsurance costs
  • Also Medicare Part A hospice coinsurance
  • Medicare Part A deductible
  • Next Medicare Part B coinsurance
  • Finally Medicare Part B excess charges
  • Skilled Nursing Facility Coinsurance
  • Foreign travel emergency costs up to 80 percent

Medicare Part N

Medicare Part N works just like any other Supplement plan. It covers Medicare Part A expenses, but not Medicare Part B deductible. Plan F offers standardized rates, meaning you pay the same thing no matter which state you use it in. This plan does have set copayments, and you will pay $20 for any doctors office visits and up to $50 for any emergency room visits that don’t result in a stay. Medicare Supplement Plan F covers:

  • Medicare Part A hospital coinsurance costs
  • And Medicare Part A hospice coinsurance
  • Medicare Part A deductible
  • And Medicare Part B coinsurance
  • Medicare Part B excess charges
  • Skilled Nursing Facility Coinsurance
  • Foreign travel emergency costs up to 80 percent

Premiums

Any Medigap plans like F, G, and N can use one of three primary pricing methods to decide the premium amount. The first is a Community-rated premium. This model charges the same premium price no matter the age of the beneficiaries. The second model is Issue-age-related. This model bases premium prices based on the beneficiary’s age when they first enroll. The final design is Attained-age. This model base the premiums on your current age, and the cost increases as you get older. This model can end up being the most expensive in the long run, and it is always a good idea to know exactly what are the terms of the plan you are getting when you choose one.