Medicare Plan G, also known as Medigap Plan G is an important plan to understand when you are shopping the Medicare market. Medicare Plan G is one of many Medicare Supplement Plans that you can choose to enroll in. So let’s dive into what Medicare Plan G is, what it covers, and if it is a good fit for you.
What is Medicare Plan G?
Each Medicare Supplement Plan is assigned a letter. These are not to be confused with Medicare Part A or B or D. These are simply Medigap Plans that have been assigned a letter to identify each plan and what it covers.
When you get close to your 65th birthday, you can begin to enroll in Medicare. One of the options to enrolling in Medicare is choosing your Medicare Supplement Plan. Each Medigap Plan offers different coverage. Medicare Plan G is one of the many options you have for a Medicare Supplement Plan.
Source: 2020 Guide to Health Insurance
Is Plan G Going Away?
As of now, there has been no announcement that Plan G is going away. That said, in the current Medicare Supplement Plan market, Medicare Plan C and F are no longer available. If you’re already on Medicare, it is possible that you are currently enrolled in one of these plans, but they are no longer available to people newly enrolling in Medicare after January 1, 2020.
Can I Switch to Medicare Plan G?
If you are already enrolled in Medicare and have a Medicare Supplement, you can still reap the benefits of Medicare Plan G. In most cases you can switch to Medicare Plan G, but you must be able to pass through medical underwriting.
What Are the Benefits of Medicare Plan G?
Once you are enrolled in Medicare Parts A and B, most of your approved medical bills will be paid up to 80%. Medicare Plan G is a supplement plan to cover the remaining 20% of your medical bills that Medicare does not cover.
Once you are enrolled in a Medicare Supplement Plan G, the additional 20% will be covered. Therefore, you will have 100% Medicare approved medical coverage.
What Does Medicare Plan G Cover?
The best part about Medicare Plan G is that it covers nearly all Medicare approved care. This can include things like doctor’s visits, laboratory testing, x-rays, diabetes supplies, durable medical equipment (DME), ambulance rides, surgeries, and more. Medicare will pay your bill first, and your Medicare Supplement Plan will pay the remainder of the approved care.
In addition, Medicare Plan G offers foreign travel emergency benefits of up to $50,000.
There is one thing Medicare Plan G does not cover. It doesn’t cover what’s known as the Part B deductible.
What Is the Plan G Deductible in 2023?
Medicare Plan G does not cover the Part B annual deductible. This means if it’s your first time visiting your doctor for the year, there’s an annual deductible that will need to be met. That deductible is $226 in 2023. Plan G does not cover this deductible.
In fact, it’s the only thing Plan G does not cover. For future reference, this deductible is predicted to increase over the years. Now keep in mind, you do not have to pay this deductible each time you see a doctor. It is a once per year deductible that resets on January 1st. Also, once it’s been met for the year, you’ll pay nothing out of pocket for all Medicare approved care that falls under Part B.
Does Medicare Plan G Cover Prescriptions?
Outpatient retail prescription medications are not covered under Medicare Plan G. However, Medicare Plan G will cover coinsurance on your Part B medications. It will also cover medications that are administered in a clinical setting. Examples include chemotherapy or injections for autoimmune diseases.
Does Medicare Plan G Cover Dental?
Medicare Plan G does not offer dental coverage. However, additional coverage for Dental, Vision, and Hearing can be purchased as a stand-alone plan better known as a DVH policy.
What Is the Best Medicare Supplement Plan G Insurance Company?
To be frank, there is no difference in any insurance company that sells Medicare Supplement Plan G. Whether you choose a Cigna Medicare Plan G, an AARP Medicare Plan G or a Blue Cross Blue Shield Medicare Plan G, they are all essentially the exact same plan.
The only difference between any Medicare Supplement Plan G will come down to price. An Aetna Medicare Plan Supplement Plan G could be less than a Humana Medicare Supplement Plan G in your area or vice versa. The fact remains, however, that the plan itself is the exact same coverage, no matter the price.
Is Medicare Plan G a Good Choice for Me?
Prior to 2020, many seniors were enrolling in Medigap Plan G for good reason. At that point, monthly premiums were relatively low and the annual rate increase was around 3%. This means that Plan G rates were only increasing around 3% each year on average. However, after 2020 Medicare Plan G premiums skyrocketed along with annual rate increases of 8-16%, which is just unheard of.
Keep in mind, people currently enrolled in Medicare Plan G and those shopping for Medicare Plan G for the first time are being affected, nationwide. Due to these high annual rate increases, we recommend considering other Medigap plans.
The strategy we recommend when shopping for a Medigap Plan is finding coverage that has low monthly premiums, minimal out-of-pocket costs, and a low annual rate increase. Medicare Plan N is quickly gaining popularity over Plan G due to its low out-of-pocket costs and historically low rate increases.
Final Thoughts on Medicare Supplement Plan G
If you currently have Medicare Plan G and would like to explore other Medicare Supplement plans, you may have some options. Depending on the state you live in, you can switch any time of the year, so long as you can pass medical underwriting.
If you are shopping for a Medicare Supplement Plan for the very first time, you can contact MedicareInc.com to help you shop all the top-A rated insurance carriers at no cost to you.