Medigap premiums vary widely by plan, location, and your age when you first enroll
Supplemental Medicare insurance (also called Medigap) costs between roughly $100 and $300 per month for most people, though some plans run higher and a few run lower. The exact amount depends on which of the ten standardized plans you choose, which insurance company sells it, what state you live in, and how old you were when you first bought the policy. A plan that costs $150 in one county might cost $200 in the next county over, and the same plan might cost $120 at age 65 but $180 at age 75 if you wait to enroll.
The ten Medigap plans are labeled A through N (there is no plan E, H, I, or J anymore). Each plan covers a different combination of costs that Medicare Part A and Part B leave unpaid — things like copays, coinsurance, and deductibles. Plans with broader coverage cost more. Plan A is the cheapest because it covers the least. Plan G and Plan N are popular middle-ground options. Plans F and G used to be the most comprehensive, but Plan F is no longer sold to people new to Medicare.
Key Takeaways
- Monthly premiums for Medigap plans typically range from $100 to $300, but the exact cost depends on your age, location, the insurance company, and which of the ten plans you choose.
- Enrolling within six months of turning 65 or first signing up for Medicare Part B usually locks in lower rates than waiting, because insurers can charge more if you enroll later.
- The same Medigap plan can cost 50 to 100 percent more in one state or county than another, so comparing quotes from multiple insurers is essential.
- Your premium may increase each year due to age, inflation, or changes the insurance company makes to its rates, but you can switch plans during the annual open enrollment period.
How age affects what you pay
Your age when you first buy a Medigap policy matters more than almost anything else. If you enroll within six months of turning 65 or first signing up for Medicare Part B, most states require insurers to use issue-age pricing, which means they charge based on your age at the time you buy the policy. If you buy at 65, your rate is locked to the 65-year-old rate. If you wait until 72, you pay the 72-year-old rate — which is typically 40 to 60 percent higher.
If you miss the six-month window, you may lose this protection. Some states allow insurers to use attained-age pricing instead, which means your premium goes up every year as you age, even if you never change plans. Other states use community rating, where everyone in your area pays the same premium regardless of age, but this is less common. A few states use a hybrid approach.
The six-month enrollment window is called the Medigap open enrollment period. It starts the first day of the month you turn 65 and have Medicare Part B. If you enroll during this window, insurers cannot deny you coverage or charge you more because of pre-existing conditions. Missing this window can cost you thousands over time.
What the ten plans cover and what they cost
The ten plans offer different levels of coverage. Here is what you need to know about cost and coverage trade-offs:
| Plan | Typical Monthly Cost Range | What It Covers Beyond Medicare |
|---|---|---|
| Plan A | $100–$150 | Part A coinsurance, Part B copays, blood transfusions. Does not cover Part B deductible. |
| Plan B | $150–$220 | Everything Plan A covers, plus Part A deductible and Part B deductible. |
| Plan D | $120–$200 | Part A coinsurance, Part B copays, Part A deductible, blood transfusions. Does not cover Part B deductible. |
| Plan G | $150–$280 | Everything except Part B deductible (which you pay once per year, currently $240). |
| Plan N | $120–$200 | Most costs, but you pay Part B copays and coinsurance up to $200 per year, plus Part B deductible. |
Plan G is often the best value for people who use healthcare regularly, because it covers almost everything except the Part B deductible. Plan N costs less per month but requires you to pay some copays when you see doctors. Plan A is cheapest but leaves you responsible for the Part B deductible. The right plan depends on how much healthcare you expect to use and whether you prefer predictable monthly costs or lower premiums with some out-of-pocket costs.
How location and insurance company affect your premium
The same Medigap plan can cost $120 per month in one county and $200 in another, even within the same state. This happens because each insurance company sets its own rates for each plan in each geographic area. Some insurers focus on rural areas and price competitively there. Others focus on cities. Some have been in a market for decades and have loyal customers; others are new and price low to gain market share.
The only way to know what you will actually pay is to get quotes from multiple insurers. Your state insurance commissioner's office or your local Area Agency on Aging can provide a list of insurers that sell Medigap in your area. You can also call insurers directly or use online quote tools, though online tools sometimes show outdated rates. Always call the insurer to confirm the current price before you enroll.
Some insurers offer discounts for paying annually instead of monthly, or for setting up automatic bank withdrawals. A few offer discounts if you or your spouse buy multiple policies from them. These discounts are usually 5 to 10 percent, so they are worth asking about but should not be your main reason to choose an insurer.
When and how your premium increases
Even after you enroll, your premium will likely increase over time. The increases happen for three reasons: your age (if your state uses attained-age pricing), inflation and rising healthcare costs, and rate changes the insurance company makes to all its customers in your area.
You will receive a notice from your insurer before any rate increase takes effect, usually 30 to 60 days in advance. The notice will show your new premium and explain the reason for the increase. You cannot stop the increase, but you can switch to a different plan or a different insurer during the annual open enrollment period, which runs from October 15 to December 7 each year. If you switch, your new coverage starts January 1.
Switching plans can lower your premium, but it may also change your coverage. For example, if you switch from Plan G to Plan N, you will pay less per month but will have to pay some copays. If you switch to a different insurer selling the same plan, your coverage stays the same but your premium changes. Always compare what you will pay in premiums plus out-of-pocket costs before you switch.
Medigap costs compared to Medicare Advantage
Medigap is not the only way to add coverage to Original Medicare. Medicare Advantage (Part C) is an alternative sold by private insurers. Medicare Advantage premiums are often $0 to $50 per month, which sounds cheaper than Medigap. However, Medicare Advantage plans have networks, copays, and deductibles that can add up quickly if you use a lot of healthcare. Medigap has higher premiums but lower or no copays and no network restrictions.
If you have Medigap, you keep Original Medicare and can see any doctor who accepts Medicare. If you have Medicare Advantage, you must use doctors in the plan's network (except in emergencies). The choice between them depends on your health, how much you travel, and whether you prefer predictable monthly costs or lower premiums with more out-of-pocket risk.
How to find the lowest price for the plan you want
Start by deciding which plan makes sense for your situation. If you use healthcare regularly and want predictable costs, Plan G or Plan N are usually good choices. If you rarely see doctors and want the lowest premium, Plan A might work. Once you know which plan you want, get quotes from at least three insurers in your area.
Call your state insurance commissioner's office or visit their website to find a list of insurers licensed to sell Medigap in your state. You can also call your local Area Agency on Aging — they often have rate comparison tools or can point you to one. Some states publish rate comparison charts online, though these are updated only once or twice per year and may not reflect current prices.
When you call for a quote, have your Medicare card handy and be ready to give your date of birth and the effective date you want coverage to start. Ask about discounts for annual payment or automatic withdrawal. Ask whether the quote is may provide or subject to change. Do not enroll over the phone unless you are certain — get the quote in writing and review it before you commit.
Frequently Asked Questions
Can I change Medigap plans if my premium gets too high?
Yes, during the annual open enrollment period from October 15 to December 7, you can switch to a different Medigap plan or a different insurer. Your new coverage starts January 1. However, if you switch to a plan with less coverage, you may not be able to switch back to your old plan later without undergoing medical underwriting, which could result in higher rates or denial of coverage.
What happens to my Medigap premium if I move to a different state?
Your current policy will not follow you. You will need to enroll in a new Medigap policy in your new state. If you enroll within 63 days of losing your old coverage, you may be protected from rate increases due to pre-existing conditions, depending on your new state's rules. Contact your new state's insurance commissioner's office for details.
Do I have to pay Medigap premiums even if I do not use healthcare?
Yes. Medigap is insurance, so you pay the premium every month regardless of whether you see a doctor. The premium covers the risk that you might need healthcare. If you do not use healthcare, you are paying for coverage you did not need that month — but if you do need it, you are protected from large bills.
Is there a Medigap plan that covers prescription drugs?
No. Medigap plans do not cover prescription drugs. If you want drug coverage, you must enroll in a separate Medicare Part D plan, which costs $10 to $100 per month depending on the plan and your location. You can have both Medigap and Part D at the same time.
What if I cannot afford any Medigap plan?
Some states offer programs that help low-income seniors pay Medigap premiums. Contact your state Medicaid office or your local Area Agency on Aging to learn whether you may be may be able to access. You can also consider Medicare Advantage instead, which often has lower or no premiums, though it has different cost structures and network restrictions.