Medigap Costs

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Medigap costs vary by location, age, and eligibility. Many seniors wonder: “what is the average cost for supplemental insurance for Medicare?” Well, depending on the plan and your area, the price will vary greatly.

For example, a Plan G can cost anywhere from $100 to $200; however, it’s essential to understand your premium could be less or more depending on many different factors.

Medicare Supplement plans are identifiable by letters; each letter plan has its benefits as well as premium rates. Additionally, these amounts will vary between companies.

Medigap plans help fill the gaps in coverage often found in Original Medicare benefits. Medicare Supplements help cover expenses Medicare doesn’t cover.

Medigap can help with the costs of coinsurance, copayments, and deductibles Medicare doesn’t cover.

Medigap Costs

Depending on the type of coverage you’re seeking, the average monthly cost of your supplement plan will be different per your circumstances.

Finding a general rate for Medigap Plans is difficult; this is because prices are situational.

Be mindful when looking at the average monthly premiums for each Medigap letter plan; prices vary among insurance companies.

Your location, age, and sex are determining factors regarding the cost of your Medigap premium.

When comparing plans, try not to focus solely on the Medigap costs. Instead, direct your attention to the benefits that each program offers.

Remember, the cheapest plan won’t always provide you with adequate coverage. Choosing your supplement plan should be on the benefits rather than the Medigap costs.

Gaps in your health insurance coverage will ultimately result in more out-of-pocket expenses for you. Therefore, if you choose a plan due to the low Medigap costs, it’s likely you’ll still have gaps in health-care coverage.

The idea of purchasing a Medigap Plan is to fill those holes in your coverage; compare plan benefits to ensure you have the best overall coverage possible.

With insurance, you can either pay now or pay later. Pay a higher premium now, and don’t worry about serious health issues. Or, pay a smaller premium, and when something serious happens, prepare to fork out your portion of the costs.

First Dollar Coverage at First Dollar Prices

First Dollar Coverage at First Dollar Prices

Only those eligible for Medicare before 1/1/2020 are eligible to enroll in first-dollar coverage plans

In the states that offer the 10 Medigap letter plans, Medigap Plan C and Plan F are the only plans that offer first-dollar coverage.

Well, the national average for Plan F is about $145 a month; However, depending on your situation, it could be less or more.

These plans provide the best coverage with little to no out-of-pocket expenses – it’s no wonder these Medigap plans are popular.

Nevertheless, things always change in the Medicare world. Come January 1, 2020; some Medigap Plans are going away.

If you enroll in either of these plans before January 2020, you’ll be able to keep your policy – unless you decide to switch to a different one.

Pricing Methods for Medigap Costs

As if you didn’t have enough to think about when deciding on a Medicare Supplement policy, there’s more to consider than just the cost of your first year’s premium rate.

Moreover, you should understand the Medigap pricing method used by your insurance company.

The different pricing methods for Medigap costs help health insurance companies decide how much your premiums will increase over the years.

The financial standing of your health insurance company can also influence your Medigap costs; this is an excellent reason to use an insurance company with high ratings and a good reputation.

Health insurance companies use three different methods when deciding how to price their Medigap plans.

The three pricing methods used for determining Medigap costs are:

  1. Community-rating – premium prices don’t depend on the beneficiary’s age
  2. Issue-age-rating – monthly premium will depend on your age when the policy is active
  3. Attained-age-rating – premium prices will increase as you age

Medigap Rate Increases

Every health insurance company has its rate increases. Medigap rate increases are likely to change each year.

The Medigap costs will vary between companies; Medigap rate increases will differ too.

Many companies offer excellent combinations of low rates, slow rate increases, and excellent customer service.

Be sure to look at different health insurance companies when comparing Medigap plans. Additionally, working with a Medicare Insurance expert will make finding the best company easier.

Our agents are knowledgeable about the companies in your area, give them a call at the number above!

Paying for a Medigap Policy

Beneficiaries can obtain a Medicare Supplement Plan through a private health insurance company.

If you already have Medicare and decide to purchase a Medigap policy, Medicare will cover its portion of the amount. After payment, the Medigap policy kicks in and pays its share of the costs.

You may find that the insurance company that you select to administer your Medigap plan also offers Part D. If you end up with both a Medigap and Part D plan, you’ll be responsible for making two separate premium payments.

The member makes Medigap payments, and payment methods may range from credit/debit, electronic funds transfer, and even by check depending on the insurer’s policies.

Part D payments can be made directly from withdrawal from members — Social Security benefit checks.

Plan costs can be drastically different depending on which carrier you select. It’s a good idea to shop around and make sure you’re comfortable with the monthly premium.

These payments are made directly to the insurance company every month, so you’ll need to confirm the best practices for making payments directly to your insurer.

Medigap policies are renewable if the payments are made on time.

Making Late Premium Payments

Since Medigap policies are through private health insurance companies, you’ll have to check with the insurer as to how to make late payments. They can also inform you of the potential penalties you may face because of late or missed appointments.

If you find yourself dropped from your Medigap plan due to the non-payment of your premiums, it’s very likely, that you may not be able to get it back.

Medigap Costs by State

The state you reside in will affect your Medigap cost as well. The average annual and monthly Medigap plan costs are different from state to state.

One example is, a Medicare beneficiary living in Florida may have a lower supplement cost than a person who lives in New York.

The variation of prices may be different between states and insurance companies.

Medigap Costs in 2019

Get Help Comparing Medigap Costs

Get help comparing Medigap Costs for 2019 from a licensed agent that understands Medicare in your state

Comparing Medigap costs among plans and companies doesn’t need to be difficult.

Think about your health care needs, then work with one of our Medicare agents to help you review the best Medigap plan options for you.

Sometimes, the information regarding the plans that may work for you can be overwhelming.

There are multiple factors when comparing different Medigap plans.

Many things can change the cost of your plan premium.

Therefore, using an agent is vital to ensure this process an easy one without breaking the bank.

When working with an agent, you lessen the chance of choosing the wrong Medigap plan.

Give us a call today or fill out a form online and let us help you.

We can handle all the legwork like comparing plans as well as providing you with quotes.