Key Takeaways

• Medigap plans are standardized, but the differences in what they pay for can result in very different out-of-pocket costs depending on your healthcare needs.

• Comparing each plan’s coverage in detail—especially for coinsurance, deductibles, and foreign travel—can help you avoid costly surprises in retirement.

Why Medigap Plans Seem Identical at First Glance

Medigap, or Medicare Supplement Insurance, is designed to work alongside Original Medicare by covering many of the out-of-pocket costs that Part A and Part B don’t pay for. These plans are standardized by the federal government, which means that the benefits for each plan type (Plan A, Plan G, Plan N, etc.) are the same no matter which insurer offers them.

That’s where it gets tricky: the plans all follow a standard format, but the actual coverage differences between plans—especially in what you pay and what you don’t—are not always obvious unless you look closely.

The Key Benefits Medigap Plans May Cover

Every Medigap plan covers a core set of benefits to varying degrees. The main categories include:

• Part A coinsurance and hospital costs after Medicare benefits are used up (up to an additional 365 days)

• Part B coinsurance or copayment

• Blood (first 3 pints)

• Part A hospice care coinsurance or copayment

• Skilled nursing facility coinsurance

• Part A deductible

• Part B deductible (only covered by older plans)

• Part B excess charges (not covered by all plans)

• Foreign travel emergency care (up to plan limits)

Different plans cover different combinations of these categories. The variations matter most when you experience higher-than-average medical use or if you travel frequently outside the U.S.

Comparing What Each Plan Pays For in 2025

Here’s a closer look at how major Medigap plans differ in what they pay for, based on what’s currently allowed in 2025:

Plan A

• Covers the basics: Part A coinsurance, Part B coinsurance, hospice care, and blood.

• Does NOT cover the Part A deductible, Part B excess charges, skilled nursing care, or foreign travel.

Plan B

• Includes everything in Plan A, plus coverage for the Part A deductible.

• Still does NOT cover skilled nursing, Part B excess charges, or foreign travel.

Plan D

• Adds coverage for skilled nursing and foreign travel.

• Does NOT cover Part B excess charges.

Plan G

• One of the most popular plans in 2025.

• Covers nearly everything except the Part B deductible.

• Covers Part B excess charges and foreign travel.

Plan K

• Covers 50% of many cost-sharing categories.

• Includes an annual out-of-pocket limit ($7,060 in 2025).

• After reaching the limit, covers 100% for the rest of the year.

Plan L

• Similar to Plan K, but covers 75% instead of 50% of certain expenses.

• Out-of-pocket limit is lower ($3,530 in 2025).

Plan M

• Covers 50% of the Part A deductible.

• Includes skilled nursing and foreign travel.

Plan N

• Covers most benefits except Part B excess charges.

• You may have to pay copayments for office visits and emergency room visits.

Plans C and F Are Still Around—But Not for New Enrollees

If you were eligible for Medicare before January 1, 2020, you may still be enrolled in or able to purchase Plans C or F.

• Plan C covers everything except Part B excess charges.

• Plan F covers all Medigap-approved benefits, including the Part B deductible.

Since these plans cover the Part B deductible, they are no longer available to those who became eligible for Medicare on or after January 1, 2020. In 2025, newly eligible individuals must look to Plan G or Plan N for broad coverage.

Understanding Excess Charges and Why They Matter

One of the more misunderstood areas of Medigap coverage is Part B excess charges. These occur when a healthcare provider does not accept Medicare’s approved amount as full payment and can bill up to 15% more.

• Plans G and F cover excess charges.

• Plans N and others do not.

If you frequently see specialists or live in a state where excess charges are common, this coverage can make a big difference in your total costs.

What About the Foreign Travel Benefit?

Some Medigap plans include coverage for emergency care when you’re traveling abroad:

• This coverage typically has a $250 deductible, then pays 80% of emergency costs up to a lifetime limit of $50,000.

• Plans that include this benefit: Plans D, G, M, and N.

If you plan to travel internationally during retirement, this benefit alone could be a deciding factor.

High-Deductible Plan G in 2025

In addition to the standard Plan G, there’s also a high-deductible version. This plan requires you to pay a deductible—$2,800 in 2025—before the Medigap coverage kicks in.

This option can reduce your monthly premium but may result in higher out-of-pocket costs if you use healthcare services frequently.

Copayments and Coinsurance Vary More Than You Think

Many people focus on deductibles but overlook the difference in coinsurance and copayments:

• Plan N, for instance, requires $20 copayments for office visits and up to $50 for ER visits.

• Plan G typically does not require such copayments.

These small charges can add up quickly, especially if you have frequent appointments.

Why Comparing Plans Matters More in 2025

The costs associated with healthcare in 2025 continue to rise, and many Medicare beneficiaries are trying to avoid surprise bills. Choosing the right Medigap plan can:

• Protect you from unexpected expenses

• Provide peace of mind during major medical events

• Simplify your healthcare budgeting in retirement

Even though plans are standardized, your personal situation—such as where you live, how often you see doctors, and whether you travel—can make one plan a better fit than another.

Enrollment Timing and Eligibility

You are eligible to enroll in a Medigap plan during your Medigap Open Enrollment Period, which is a six-month window that begins the month you turn 65 and are enrolled in Medicare Part B.

During this period:

• You can buy any Medigap policy offered in your state

• You can’t be denied due to health conditions

• Insurers can’t charge more based on pre-existing conditions

Outside this window, you may face medical underwriting and higher premiums—or even be denied coverage, depending on the insurer and state rules.

Why Some Plans Are Not Offered in Every State

While the federal government standardizes Medigap plans, states can regulate availability. For example:

• Massachusetts, Minnesota, and Wisconsin have their own Medigap standards that differ from the typical lettered plans.

• Some high-deductible or limited-benefit plans might not be offered in every ZIP code.

This is another reason why a detailed comparison—not just of plan type, but plan availability in your area—is essential.

Factors to Weigh When Comparing Plans

When deciding between Medigap options, consider:

• How often you visit doctors or specialists

• Whether you anticipate needing skilled nursing care

• How much international travel you expect in retirement

• Whether your providers accept Medicare assignment

• Your monthly budget for premiums and flexibility for out-of-pocket expenses

Each plan’s structure creates a different financial experience. While two plans may seem similar on paper, their costs and benefits often diverge in real-world use.

Why Plan G Continues to Be a Top Choice in 2025

Plan G covers nearly everything except the Part B deductible, which is $257 in 2025. For many, this small out-of-pocket cost is outweighed by the broad protection Plan G offers against other unpredictable expenses.

Its inclusion of excess charge coverage, foreign travel emergency benefits, and skilled nursing coinsurance makes it a strong all-around plan for those looking for predictability in retirement.

Taking the Next Step: Plan Selection Is a Personal Decision

It’s easy to think all Medigap plans are nearly the same, but after examining what each one actually pays for, the differences become clear—and often financially significant.

Getting the right coverage involves balancing:

• Cost predictability

• Coverage flexibility

• Your unique health and lifestyle needs

This isn’t something to guess at or rush through. A thoughtful review can make your Medicare years much more manageable.

Speak with a licensed agent listed on this website to get help selecting the right Medigap plan for your specific situation. Personalized advice can save you from costly mistakes later.