Medigap Plan F vs. Plan G over Time: Is Plan F Still Worth It?

For decades, Medigap Plan F was the most comprehensive Medicare supplement available, covering virtually all out-of-pocket costs that Original Medicare didn't pay. However, the landscape shifted dramatically on January 1, 2020, when Medicare rules changed. Today, Plan F is only available to people who were already eligible for Medicare before that date. For everyone else, Plan G has become the closest alternative. Understanding how these two plans compare and whether your existing Plan F is still the best choice requires careful analysis of costs, coverage, and your personal healthcare needs.

Understanding the Medigap Rule Changes

In 2020, Medicare made significant changes to how new Medigap policies could be structured. The primary driver was cost containment--Plan F had become so comprehensive that it covered the Part B deductible, which removed patients' financial incentives to use healthcare efficiently. By eliminating Plan F for newly eligible beneficiaries, Medicare aimed to encourage more cost-conscious healthcare decisions. This rule applies to anyone who first becomes eligible for Medicare on or after January 1, 2020. If you enrolled in Plan F before that date, you're grandfathered in and can keep your coverage indefinitely, but you cannot switch to Plan F after losing it.

What Plan F Covers

Plan F is often called the 'Cadillac' of Medigap plans because it covers nearly everything Original Medicare doesn't. For 2026, Plan F covers the Part A deductible ($1,736), the Part B deductible ($283), Part B excess charges, coinsurance for hospital stays, skilled nursing facility costs, and foreign travel emergencies. Essentially, once you pay your monthly Plan F premium, your out-of-pocket costs for covered services are minimal. This comprehensive coverage made Plan F enormously popular, particularly among beneficiaries concerned about healthcare costs.

What Plan G Covers

Plan G covers almost everything Plan F does, with one notable exception: it does not cover the Part B deductible ($283 in 2026). This is the intentional difference Medicare created when restricting Plan F. Beyond that deductible, Plan G covers the Part A deductible, Part B excess charges, coinsurance for hospital stays, skilled nursing facility costs, and foreign travel emergencies. For most beneficiaries, the Part B deductible is a manageable annual cost, making Plan G a practical alternative that typically costs significantly less in monthly premiums.

Plan F vs. Plan G: Head-to-Head Comparison

As the table illustrates, Plan G is nearly identical to Plan F except for the Part B deductible. The difference between the two plans is essentially that $283 annual deductible. However, the premium difference between Plan F and Plan G is often much larger than $283 per year, which is why Plan G frequently becomes the better financial choice over time.

Cost Analysis: Premium and Out-of-Pocket Expenses

The real question isn't just about coverage--it's about total out-of-pocket costs. Plan F premiums have historically been higher than Plan G premiums, but the difference has grown over time. Insurance companies charge more for Plan F because they know it eliminates the Part B deductible. On average, Plan G premiums run $30 to $50 per month less than Plan F, though this varies by state, age, and insurance company. Over a year, that's $360 to $600 in savings with Plan G. Since the only coverage difference is the $283 Part B deductible, Plan G breaks even quickly and saves money thereafter.

Let's examine a practical example. Suppose Plan G costs you $150/month and Plan F costs $195/month in your area. That's a $45/month or $540/year difference. Your only additional out-of-pocket cost with Plan G is the $283 Part B deductible. After paying that deductible once, you've only spent $283 versus saving $540 on premiums--a net savings of $283 in year one. In year two, you save another $540 with no additional deductible, making the cumulative savings $823. This calculation assumes premiums remain stable, which they don't--they typically increase annually, often affecting Plan F more severely.

When It Makes Sense to Keep Plan F

• You enrolled in Plan F before January 1, 2020, and are grandfathered in—you have the legal right to keep it

• You use healthcare services very frequently and prefer the absolute certainty of knowing you have no Part B deductible

• Your Plan F premium is surprisingly competitive compared to Plan G in your state—some older enrollees and certain regions still have reasonable Plan F rates

• You have a strong preference for simplicity and want to eliminate even the small $283 annual deductible

• You have specific health conditions requiring frequent specialist visits where the Part B deductible would apply multiple times

When Plan G May Be Better

• Your Plan F premium is significantly higher than Plan G in your state—the gap typically needs to exceed $30-50/month for Plan G to become clearly superior

• You're cost-conscious and can absorb the $283 annual Part B deductible without difficulty

• You want to benefit from lower premium increases that Plan G historically experiences compared to Plan F

• You recently became eligible for Medicare after 2020 and have no choice but Plan G

• You're interested in future flexibility—once you switch from Plan F, you cannot return to it, so delaying this decision becomes harder over time

Making Your Decision: Key Factors

Deciding between Plan F and Plan G requires comparing specific numbers in your situation. First, obtain quotes for both plans from your current insurer and at least two others. Insurance companies can vary significantly in their pricing. Calculate the total annual cost: (monthly premium × 12) + expected out-of-pocket costs. For Plan F, this is simply the annual premium. For Plan G, add the $283 Part B deductible. Don't assume you'll use the deductible every year--you only pay it if you see a provider subject to the Part B deductible, which occurs with most doctor visits but not all services.

Consider your healthcare patterns. Are you relatively healthy with minimal doctor visits? Plan G's $283 deductible may never fully apply in a given year. Are you managing multiple chronic conditions? The deductible will apply, but you'll likely still save money with Plan G unless Plan F is surprisingly affordable in your area. Also evaluate the stability of your plan's pricing--ask your insurer about historical premium increases. Insurance companies that manage Plan F costs carefully may be worth staying with, while those with aggressive Plan F increases suggest switching to Plan G.

Finally, understand that if you switch from Plan F to Plan G now, you cannot return to Plan F later. This one-way door should factor into your decision. However, given the premium trend favoring Plan G, delaying a switch to Plan G typically only costs you money in additional Plan F premiums you could have avoided. For most Plan F enrollees today, particularly those over age 75 or those who enrolled in Plan F many years ago, Plan G has become the more rational financial choice. Compare all Medigap plans to find the best fit for your budget and health needs.

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