Medicare Supplement Plan G coverage is almost identical to that of F, with one sole difference; the Medicare Part B deductible needs to be paid out-of-pocket. As soon as your out-of-pocket costs reach the stated Part B deductible, Medigap Plan G provides complete coverage for every gap in Medicare.
Because this insurance policy covers most of the gaps in Original Medicare (Parts A & B), many consumers are willing to put up the additional cost of premium associated with the policy. As with all Medigap coverage, you can secure the policy straight from health insurance carriers that offer Medigap. The key difference between policies sold by different carriers is the cost of the premium. Although some companies may offer extra benefits with their Medigap policies, the base benefits must be uniform across all companies.
Medicare Plan G Eligibility
Before covering Medicare Supplement Plan G benefits, here are the general eligibility requirements for Part G:
You are at least 65 years of age and have been a US Citizen or permanent legal resident for at least five consecutive years
You are currently receiving retirement benefits
You are disabled and therefore receiving disability benefits
You have End-Stage Renal Disease
You have Lou Gehrig’s disease or ALS
What does Medicare Supplement Insurance Plan G Cover?
Coinsurance and hospital costs for Medicare Part A up to 365 days after Original Medicare benefits are depleted
Deductible for Medicare Part A
Coinsurance and copays for Medicare Part B
Excess charges for Medicare Part B
The first three pints of blood
Part A hospice care coinsurance & copay with room & board
Coinsurance for skilled nursing facilities
Limited foreign travel emergency care
The policy will not cover:
Routine vision care
Routine dental care
Hearing aids and routine hearing tests
Medicare Part B deductible
Medicare Supplement Plan G Costs?
Every year the government establishes the costs associated with Medicare. This includes your premiums, deductibles, and out-of-pocket costs. Because Medicare Part G is considered to be one of the more comprehensive Medigap policies, the premium needs to reflect that coverage. It can, therefore, end up being costly. The exact cost, however, as with all Medigap policies, will vary from one insurance carrier to another and may depend on any other added benefits (above the base benefits) associated with the policy.
Medicare Supplement Plan G High Deductible
There is a less expensive alternative to this comprehensive policy, where the beneficiary must meet a higher deductible. A high deductible version of this policy dictates that beneficiaries must pay out-of-pocket costs for the first $2,340 in 2020. As soon as you meet the required deductible, you receive the same benefits under as-is under normal coverage.
Is this coverage a good choice for you?
With the government announcing the restrictions on certain standardized Medigap policies, it’s a good idea to compare similar policies:
When comparing Medicare Supplement Plan G vs F, Medicare Supplement Plan G also provides relatively comprehensive benefits. Whether you were thinking to enroll in a regular Medigap F or the high-deductible version, Medicare Supplement Plan G can offer you very similar coverage, with the sole exception of the Medicare Part B deductible.
Another relatively comprehensive policy, after that of Medigap policies F & G, would be N. In comparing Medicare Supplement Plan G vs. N, N has the same benefits as G except for coverage on Part B excess charges. Additionally, N covers the Medicare Part A deductible at 50% as opposed to G’s 100%.
So, if you’re among the group of consumers who are anticipating to enroll/switch to more comprehensive Medicare Supplement Insurance coverageor a high deductible variant, you really should not worry. With the various coverage options available, you still have choices.
Lastly, you may also want to read more about non-standardized coverage like Medicare Advantage. There are significant contrasts to take note of when comparing Medigap vs. Medicare Advantage.