Best Medicare Supplement Plans in 2024

The Runners-Up

The carriers below didn’t make our list, but they may still be a great option for some Medicare beneficiaries.

• Americo: Americo offers full-service health and financial solutions. In addition to Medicare supplement insurance plans, Americo provides vision insurance, life insurance (term, universal, and whole), and retirement annuities. Head to our Americo Medigap review for additional details on the company.
• AARP: AARP offers Medicare supplement insurance plans through UnitedHealthcare, with discounts for AARP members and the flexibility to switch carriers. If you’re not an AARP member, check out our guide to AARP memberships to learn more.
• Colonial Penn: Colonial Penn is a financially strong company that offers Medigap plans to eligible beneficiaries, although you won’t be able to get a quote online. Find out how Colonial Penn Medicare supplement insurance plans stack up against other carriers by checking out our in-depth review of Colonial Penn’s Medicare supplement plans.
• Blue Cross Blue Shield: Blue Cross Blue Shield is a network of smaller companies that offer a variety of insurance types with substantial household discounts. It’s perfect for Medicare beneficiaries who want to stick to one carrier for all their health-care needs. Visit our Blue Cross Blue Shield Medigap review for an inside look at the company.
• UnitedHealthcare: UnitedHealthcare uses a community-rated pricing model with excellent enrollment discounts, but prices can vary by location. Check out our UnitedHealthcare Medigap review to learn more about the carrier’s plans.
• State Farm: State Farm is one of the few carriers to offer in-person agent assistance in many locations throughout the country. That’s a huge benefit for Medicare beneficiaries who prefer to discuss their insurance options face to face.

What Is Medigap?

Original Medicare (Part A and Part B) covers most — but not all — of the costs of approved health-care services and supplies. After you meet your deductible, you pay your share of the expenses as you get them. There’s no limit to what you’ll pay out of pocket in a year unless you have other coverage, such as Medigap.2 Medigap fills in the potentially costly gaps of Original Medicare — and provides some much-needed peace of mind.

To sign up for a Medicare supplement insurance plan, you must be enrolled in Medicare Part A and Part B. Then, you can start Medigap shopping! The 10 Medigap insurance plans are each assigned a letter of the alphabet (although Wisconsin, Minnesota, and Massachusetts do things slightly differently). Each Medicare supplement insurance plan is standardized, which means, for example, the basic benefits you receive under Medigap Plan G are the same in Kentucky as they are in California.

What Does Medicare Supplement Insurance Cover?

As you explore Medicare supplement insurance plans, it’s crucial to consider which benefits are most important to your health and wellness. The 10 Medigap plans (A, B, C, D, F, G, K, L, M, and N)* all offer varying levels of coverage. Key factors include:

• Part A deductible
• Part A hospice care copayment or coinsurance
• Part B deductible, excess charges, copayment, or coinsurance
• Skilled nursing facility care coinsurance
• Blood transfusions
• Foreign travel emergencies
• Out-of-pocket limits

*Medigap Plans C and F are available only to Medicare beneficiaries who became eligible before Jan. 1, 2020.

Use the Medicare.gov Medigap policy search to find the companies selling the plan of your choice in your ZIP code. From there, compare the premium prices and other factors important to you. For example, you may want to consider customer support, in-person agents, whether you already have policies with the company, and whether you can purchase additional policies such as a Part D plan or dental insurance. It can be tricky to change your Medicare supplement insurance plan once you enroll, so choose carefully and think about potential rising premium costs.

Are Medigap and Medicare Advantage the Same?

Although the names sound similar, Medicare Supplemental plans are not Medicare Advantage plans. Medicare Advantage plans (also known as Medicare Part C) offer an alternative way to get Medicare benefits with the possibility of other coverage (dental, vision, hearing, etc.), while a Medigap policy supplements only the out-of-pocket costs of Original Medicare. If you have a Medicare Advantage Plan, it’s illegal for anyone to sell you a Medicare supplement insurance policy unless you’re switching back to Original Medicare.

Why Should Seniors Consider Medicare Supplement Insurance Plans?

The reality is that original Medicare pays only about 80 percent of your hospitalization and medical office costs. Medicare supplement insurance plans can help keep your costs predictable.

Seniors and other Medicare beneficiaries should consider Medicare supplement insurance plans if they want to:

• Have guaranteed renewable plans, as long as premiums are paid on time and nothing is misrepresented on the application.
• Lower the cost of copays, coinsurance, deductibles, and other charges.
• Have more flexibility to travel out of the country and have medical costs covered under certain plans.
• Choose any doctor or hospital that accepts Medicare.

How Much Do Medicare Supplemental Insurance Plans Cost?

Medicare supplement insurance plan costs depend on several factors, such as:

• Whether it is your open enrollment period
• Whether you’ve paid your premiums on time
• The particular insurance carrier
• Your age, gender, tobacco use in the past 12 months, and ZIP code
• The plan itself; generally, the more things a Medigap policy covers, the higher the premium

If you’re unsure how those factors will affect your finances, we have you covered! Let’s take a closer look at a few of the key components mentioned above that impact Medicare supplement insurance pricing. As you shop for a Medicare supplement insurance plan, consider how they will positively (or negatively) affect your monthly premium.

Medicare Supplement Insurance Enrollment

Pay close attention to the calendar as you near your Medicare eligibility window. Your six-month Medigap open-enrollment period begins the month you turn 65 and enroll in Medicare. If you choose to sign up for Medicare supplement insurance outside the open enrollment period, you may incur a late enrollment penalty, pay higher rates, or be denied coverage altogether. There are certain exceptions to that rule, however, which we’ll cover below.

Insurance Carrier

To protect consumers, every Medicare supplement insurance policy is standardized. That means no matter which state you live in, the basic Medigap plan benefits will be the same across the board. Unfortunately, Medicare supplement insurance pricing is not standardized, which makes it critical to compare costs to ensure you select a policy that meets your medical and budgetary needs.

Location

Your ZIP code plays a major role in Medicare supplement insurance rates because of cost-of-living variations and clusters of senior citizen communities. If you live in Miami, for example, you’ll pay significantly more than if you live in Fort Worth, Texas. Depending on your location, you may save money by going with a Medicare Advantage (Part C) plan instead of getting Medigap insurance.

» Related Reading: Retirement Communities in 2024

If you live in Connecticut, Maine, Massachusetts, or New York, your Medicare supplement insurance options also come with an extra level of security. Those states must offer all Medicare beneficiaries ages 65 and older either continuous or annual guaranteed open enrollment. That means you can’t be denied coverage due to your medical history.

Age

As you research Medigap plans, it’s crucial to ask how the company rates its policies. Carriers in many states use attained-age policies: The younger you are, the less you pay. Some carriers, such as AARP from UnitedHealthcare, use a community-based approach. Whether you’re 65 or 85, the premium will be the same. Keep in mind that even community-based premiums can still increase from year to year due to factors such as inflation.

In eight states — Arkansas, Connecticut, Maine, Massachusetts, Minnesota, New York, Vermont, and Washington — carriers must use community ratings. The carriers can still charge different rates depending on tobacco use, ZIP code, and other factors, but they cannot charge more based on age or existing health issues. If you or your partner are shopping for Medicare supplement insurance plans, you can inquire about possible household discounts through the carrier.

When Is the Best Time to Enroll in Medigap?

Open enrollment typically is the best time to get a plan. The six-month period automatically starts the first month you have Medicare Part B (medical insurance) and are 65 or older. During the period, you get what insurance carriers call the “preferred” rate regardless of any preexisting conditions you may have. Enroll outside the period and you may have to pay “standard” rates. It’s also possible for your application to be rejected if you seek Medicare supplement insurance outside the open enrollment period.

There are, however, special enrollment exceptions, and you may still qualify for Medicare supplement insurance without incurring hefty late enrollment penalties. In those situations, an insurance company can’t deny you a Medigap policy, place conditions or exclusions for preexisting conditions, or charge you more for a Medicare supplement insurance policy because of a past or present health problem.

» Get Help: Medicare Helpline

Suppose you’re waiting to enroll in Medicare Part B and Medigap because you (or your spouse) are currently working and have group health insurance coverage. In that case, you still have a penalty-free Medicare supplement insurance open-enrollment period past your 65th birthday since open enrollment begins when the employer’s coverage ends — when you retire, for example.

Guaranteed issue rights (also called Medigap protections) are rights you have in certain situations even if your open-enrollment period ends. You have a guaranteed issue right if you’re currently in a Medicare Advantage plan that is leaving Medicare or stops giving care in your area, for example. You’re guaranteed the right to buy a Medicare supplement insurance plan sold by any insurance company in your state.

Medicare Supplement Plans for Every Need

We know insurance plans aren’t one size fits all. That’s why we’ve put together our top picks for different needs and lifestyles.

• Best Medigap Plans for Healthy Seniors
• Best Medigap Plans for Low-Income Seniors
• Best Medigap Plans for Seniors With Cancer
• Best Medigap Plans for Those With Diabetes
• Best Medicare Part D Plans

Learn More About Medicare and Medigap Coverage

To learn more about Medicare and Medicare supplement insurance coverage, check out the video below for an introduction to Medicare from the Senior Living YouTube channel. You will find information about different plan types and Medigap, as well as alternative sources for Medicare information.