Senior Insurance Blog

Medicare Supplement Plan G: Cost, Benefits, and Company Ratings

Medicare Supplement Plan G: Cost, Benefits, and Company Ratings

Medigap Plan G (also called Medicare Supplement Plan G) is the perfect coverage option for people who love great coverage for their money. It's also the most popular Medicare Supplement plan we sell.

To understand some highlights about the Plan G and whether or not it may be right for you, watch this short video from Luke Hockaday, Customer Success Rep here at Medicare Allies.


→ Get a Medigap Plan G quote now

Medigap Plan G Benefits

Here are some of the benefits that come with Plan G:

  • Part A coinsurance and hospital costs up to 365 days after Medicare benefits are used up
  • Part B coinsurance
  • First 3 pints of blood
  • Part A hospice care coinsurance
  • Skilled nursing facility care coinsurance
  • Part A deductible
  • Part B excess charges
  • 80% coverage when you’re traveling outside the United States

It may also be easier to understand what’s not covered with a Plan G, which is:

  • The Part B deductible

That’s it. Everything else is covered, as long as it’s a Medicare-approved expense (which is how all Medicare Supplements work).

The Part B deductible is not a big deal. Here’s what that Part B deductible has historically been for the last few years:

2015: $147

2016: $166

2017: $183

2018: $183

2019: $185

This deductible is also the only difference between a Plan G and a Plan F. However, a Plan F typically costs around $300 more per year than a Plan G. That doesn't quite make sense, does it?

You’d basically be spending an $300 to save $185. In other words, you’re paying extra for convenience. And savvy shoppers don’t particularly enjoy that!

If you don’t mind that Part B deductible, a Plan G is definitely the way to go, and that's why it's the most popular plan we offer.

Cost of a Medigap Plan G

We’ve talked about this before on the Medicare Allies blog, but the cost of a Plan G (or any Medigap plan for that matter) varies quite a bit from person to person.

Your age, gender, zip code, and tobacco status are all factors that play into the final monthly premium. Even so, we know that a ballpark estimate of the cost is helpful, so we’ve put together some samples.

You can check those out here: How Much Does Medigap Insurance Cost On Average?

Based on the sample quotes we ran in that article, the estimated cost of Medigap Plan G spans from $92-$131. This varies, of course, but that should give you a good idea of what a Plan G would cost you each month.

For those of us accustomed to pre-65 healthcare costs, this is quite the steal! This is particularly exciting for those used to a high deductible. With Medigap plans, you don’t have to worry about 4, 5, or even $6,000 deductibles.

With a Plan G, all you’re on the hook for is that Medicare Part B deductible, which is only $185 in 2019.

Medicare Supplement Plan G Benefits Costs and Company Ratings

Medigap Plan G Company Ratings

When you’re researching Medigap plans, you probably find yourself interested in what companies offer this plan.

But here’s the thing – the company doesn’t really matter. That can be confusing to hear, so let me explain.

By law, every Medicare Supplement insurance plan is standardized. Each insurer must offer identical coverage for the same plan.

Let that sink in for a moment. A Plan G is a Plan G no matter which company is selling it.

There are really only two main differences from company to company, and those are:

  1. Underwriting
  2. Price

Plan G Underwriting

Underwriting differences basically mean that one company will have their own set of health questions, and another will have a different set of health questions. For example, one company may take diabetics that use up to 50 units of insulin, while another company may take up to 70 units of insulin. The underwriting questions can be very important for those that need to purchase a plan when it's not open enrollment, and they don't qualify for a guaranteed issue situation.

If you’re new to Medicare and are signing up for the first time, underwriting isn’t really that important, because you do not have to pass underwriting.

Watch this video to learn more: Open Enrollment vs. Guaranteed Issue (GI): What's the Difference?

What’s the most important is the price!

Plan G Price

You may be wondering… why would the price be different from company to company if the plan benefits are exactly the same?

Here’s the answer: each company has their own set of health questions. Each company thinks that if you can pass their questions, you won’t have as many claims, which means you won’t cost them as much money. Therefore, they’re willing to offer you the same plan for a better price.

There are other factors that go into pricing including how many claims that company is facing, your age, regular inflation, the general cost of healthcare, and admin costs.

Medigap Plan G Company Ratings

Many shoppers are interested in particular Medigap companies. One way to distinguish companies from each other are their ratings.

A.M. Best Company provides credit ratings for the insurance industry. Their Long-Term Issuer Credit Rating (IC) Scale goes from Poor (c) to Exceptional (aaa).

Here are some popular Medigap companies with A.M. Best Ratings, the most recognized rating agency for the insurance industry:

  • Aetna – bbb (Good)
  • Americo – a (Excellent)
  • Cigna – a (Excellent)
  • CSI Life – a+ (Excellent)
  • Everest – a+ (Excellent)
  • Liberty Bankers Life – bbb+ (Good)
  • Lumico – a+ (Excellent)
  • Manhattan Life – bbb- (Good)
  • Medico – a- (Excellent)
  • Mutual of Omaha – aa- (Superior)
  • Prosperity – a- (Excellent)
  • Sentinel – bbb (Good)
  • Thrivent Financial – aa+ (Superior)
  • Western United Life – bbb- (Good)

Keep in mind that the Medigap company rating shouldn’t necessarily play into which carrier you choose. The price is ultimately the main distinguishing factor between companies.

Are you interested in a Medicare Supplement Plan G? The best place to start is by requesting a quote. Contact us to get started.

Get a Medigap Plan G Quote Now

Our team of dedicated, licensed agents can help you as little or as much as you need. Whether it’s answering a few questions about Medicare or creating a comprehensive Medicare Planner with you, we are your Medicare Allies.

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