Medicare Supplement Plans (Medigap)
Medicare Supplement Insurance—commonly referred to as Medigap plans—are private insurance plans designed to work alongside Original Medicare (Parts A and B). At Emerald Medicare, our goal is to help you evaluate and understand your Medicare options.
This guide explains what Medigap plans are, how they work, and who they’re best suited for.
What Are Medicare Supplement (Medigap) Plans?
A Medigap plan is private health insurance designed to work alongside Original Medicare (Parts A and B). These plans do not replace Medicare. Instead, they help cover many of the out-of-pocket costs that Original Medicare leaves behind.
Original Medicare typically pays about 80% of approved medical costs, leaving beneficiaries responsible for the remaining portion. Medigap plans are designed to help cover those gaps, such as deductibles, copayments, and coinsurance—offering greater financial predictability and peace of mind.
Examples of Medigap plans include Plan G, Plan N, and High-Deductible Medigap plans, among others.
How Medigap Plans Work
Here’s the basic structure:
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Original Medicare pays its share of covered services
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Your Medigap plan helps pay for remaining eligible out-of-pocket costs
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You can see any doctor or hospital nationwide that accepts Medicare
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No provider networks or referrals are required
Medigap plans are standardized, meaning the benefits for each plan type are the same regardless of which insurance company offers the policy. For example, a Plan G provides the same coverage no matter the carrier—though premiums can vary based on location, age, and other factors.
What Do Medigap Plans Cover?
Depending on the plan you choose, Medigap may help cover:
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- Medicare Part A coinsurance and hospital costs
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Medicare Part B coinsurance or copayments
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Skilled nursing facility coinsurance
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Hospice care coinsurance or copayments
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- The Medicare Part A deductible
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Part B excess charges
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The first three pints of blood
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Foreign travel emergency care (up to plan limits)
Some older Medigap plans may cover the Part B deductible, though most new enrollees choose plans like Plan G or Plan N, which are widely available and popular today.
Who Should Consider a Medigap Plan?
Medigap plans are often a strong fit for individuals who:
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Want predictable healthcare costs
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Visit doctors or specialists frequently
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Travel often, including internationally
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Prefer maximum flexibility in choosing providers
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Want nationwide access without network restrictions
Because costs are more predictable, Medigap plans are often chosen by individuals who value stability and long-term planning over lower monthly premiums.
Medigap vs. Medicare Advantage: Key Differences
Neither option is universally “better”—the right choice depends on your healthcare usage, preferences, and budget.
How to Choose the Right Medigap Plan
Choosing the right Medigap plan depends on several personal factors:
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Healthcare usage: Frequent visits or services may favor more comprehensive plans (like Medicare Advantage)
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Budget: Higher monthly premiums often mean lower out-of-pocket costs later
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Travel habits: Some plans include foreign travel emergency coverage
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Long-term planning: Stability today and flexibility tomorrow
Because premiums vary by carrier and location, working with a licensed Medicare broker can help ensure you’re comparing the right options.