Medicare Gap plans, better known as Medigap policies, can help pay the out-of-pocket costs Original Medicare leaves behind, such as deductibles, copayments and coinsurance. For 2027, the right plan depends on when you became eligible for Medicare, the benefits you want and the premiums available where you live.
Here’s how Medicare Supplement coverage works alongside Parts A and B, what common options like Plan G and Plan N cover, and when you can enroll without medical underwriting.
Medicare gap plans 2027 is a common shorthand for Medicare Supplement Insurance (Medigap) plans: extra insurance you can buy to help pay certain out-of-pocket costs left by Original Medicare. Original Medicare includes Part A hospital insurance and Part B medical insurance, but it does not pay every dollar for every covered service. Deductibles, coinsurance, and copayments can still add up, particularly for people who use care regularly.
A Medicare supplement policy is sold by a private company and works alongside, rather than instead of, your federal Medicare coverage. After Medicare pays its approved share of a covered service, Medigap insurance may pay some or all of the remaining eligible costs, depending on the plan letter and benefits selected.
These policies can make healthcare expenses more predictable, but they do not create coverage for services Medicare does not cover. The basics matter: Medigap plans are generally standardized in most states, meaning plans with the same letter offer the same core benefits regardless of insurer.
Premiums, underwriting rules, customer service, household discounts, and the way a carrier sets future rates can differ substantially, however. A private company may offer several plan options, so comparing the policy details and long-term cost structure is as important as comparing the starting monthly premium.
Medicare supplement insurance is available only to people enrolled in Original Medicare; it cannot be used with a Medicare Advantage plan. It also generally does not include outpatient prescription drug coverage, routine dental, vision, or hearing benefits, so those needs may require separate arrangements.
The best time to consider supplement insurance is often the six-month Medigap Open Enrollment Period that begins when Part B coverage starts at age 65 or later, when applicants typically have the strongest enrollment protections. Outside that window, eligibility and pricing may depend on health underwriting unless a guaranteed-issue right applies.
A Medigap plan is private insurance designed to supplement Original Medicare, not replace it. After Medicare pays its approved share of a covered service, a Medigap policy can help pay the remaining costs, often making medical bills more predictable for people who see providers regularly or want protection from a large hospital bill.
The majority of policies are standardized by letter, so the core benefits of a Plan G, for example, are the same regardless of insurer; premiums, household discounts and customer service can differ. Every standardized plan covers Part A hospital coinsurance and provides up to 365 additional hospital days after Medicare benefits are exhausted.
Most also help with Part B coinsurance or copayments, the first three pints of blood and hospice care coinsurance. Depending on the letter plan, coverage may extend to skilled nursing facility coinsurance, the Part A deductible and Part B excess charges.
Several plans also include limited emergency health coverage while traveling outside the United States, generally paying 80% of eligible emergency costs after a small deductible and up to a lifetime limit. What a Medigap plan covers depends on the plan letter, and it does not erase every out-of-pocket obligation.
For people newly eligible for Medicare on or after January 1, 2020, no Medigap policy may pay the Part B deductible. Plans K and L pay only a portion of certain coinsurance and deductible amounts until the member reaches their annual out-of-pocket limit.
A supplement also does not cover routine dental, vision or hearing care, long-term custodial care, or most over-the-counter services. Prescription drug coverage is another important exception. Modern Medigap policies do not include outpatient drug benefits, so Medicare Part D is typically the separate option for prescription medications.
Medigap works with Original Medicare and lets members generally use any U.S. providers that accept Medicare; it does not work alongside Medicare Advantage. Understanding these coverage gaps left by Medicare, and the gaps a supplement still leaves behind, helps clarify whether a policy fits both your care needs and budget.
For new enrollees, Medigap plans are designed to make Original Medicare’s out-of-pocket costs more predictable. Medicare uses standardized plan letters, such as A, G and N, so a Plan G’s core benefits are the same regardless of insurer.
What changes from carrier to carrier is the monthly premium, household discount availability, underwriting rules outside protected enrollment periods and customer experience. That makes comparing costs locally important, but it also means shoppers can start with a clear view of what each lettered plan covers.
The key question is which coverage gaps left by Medicare matter most to you. Original Medicare generally pays its share of approved hospital and medical bills, then leaves deductibles, coinsurance and, in some cases, Part B excess charges.
A Medicare supplement policy works alongside Parts A and B; it does not replace them, and it does not include prescription drug coverage. A separate Part D plan is needed for medications. For people first eligible for Medicare on or after January 1, 2020, Plans C and F are not available for purchase because they cover the Part B deductible.
Plan G is often the closest broad-coverage alternative. Put simply, Plan G is a policy that pays nearly all remaining Medicare-approved cost sharing after you meet the annual Part B deductible, including Part B excess charges where they are permitted.
It can be a strong fit for someone who values fewer bills throughout the year. Plan N trades a little more cost sharing for a potentially lower premium. In practical terms, Medicare Supplement Plan N fills the major hospital and medical coinsurance gaps, but does not pay Part B excess charges and may require modest copayments for certain office and emergency-room visits.
It also does not cover the Part B deductible. Providers who accept Medicare assignment do not charge excess charges, so checking how your doctors bill can help clarify the trade-off.
Enrollment timing matters as much as the plan letter. During your six-month Medigap open enrollment period, insurers generally cannot deny coverage or increase rates based on health history.
Afterward, access and pricing may depend on state protections and medical underwriting. Compare the benefits first, then evaluate premiums and rate history with the expectation that costs can change over time.
| Feature | Plan G | Plan N |
|---|---|---|
| Part B deductible | Does not cover the annual Part B deductible | Does not cover the Part B deductible |
| Part B excess charges | Covers excess charges where permitted | Does not cover excess charges |
| Office and emergency-room copayments | Pays nearly all remaining Medicare-approved cost sharing after the Part B deductible is met | May require modest copayments for certain office and emergency-room visits |
| Premium trade-off | Broader coverage that may suit someone who values fewer bills during the year | More cost sharing for a potentially lower premium |
When you compare Medigap policies, look beyond the monthly premium. The same lettered policy generally covers the same core benefits from one insurer to another, but costs can vary widely based on pricing method, age, tobacco use, household discounts, and the insurer’s rate history.
A lower premium today may not remain the lower-cost choice after several years of retirement, so ask how rates have changed locally and whether the plan is community-rated, issue-age-rated, or attained-age-rated. Also weigh the deductible, especially when considering high-deductible versions of Plans F or G, against the premium savings you would actually receive.
Your best shopping window is your Medigap Open Enrollment Period: a one-time six-month enrollment period that begins when you are both 65 or older and enrolled in Medicare Part B. During this period, companies must sell you any available Medicare Supplement policy without medical underwriting.
That guaranteed issue protection means a health condition cannot lead to a denial, higher premium, or coverage exclusion. It is one of the strongest consumer protections in Medicare, and it is worth planning for before Part B starts.
Outside that period, changing a policy can be more complicated. You may qualify for guaranteed issue rights after certain events, such as losing employer coverage, leaving a Medicare Advantage plan under specific circumstances, or moving out of the Medicare plan’s service area, such as Nebraska.
The exact right, available plan choices, and application deadline depend on why coverage ended, so keep notices and confirm your options promptly. State insurance departments and SHIP counseling programs are useful resources for reviewing a situation before you cancel existing coverage. A practical comparison includes the premium, benefits, insurer stability, customer service, and rules for switching later.
Get quotes for the same plan letter, verify whether prescription drug coverage requires a separate Part D plan, and compare more than one carrier. Medicare Supplement decisions are personal, but careful timing and a clear view of long-term costs can protect both your budget and your access to coverage.
A Medigap policy, also called a Medicare supplement, is only one way to manage health costs after enrolling in Medicare. It works alongside Original Medicare, helping pay certain deductibles, coinsurance and copayments, but it is not the right fit for every household.
A Medicare Advantage plan is the principal alternative: instead of using Original Medicare as the primary coverage, you receive Medicare benefits through a private plan. These plans often combine hospital and medical coverage and may include routine extras, though they typically use provider networks, require attention to referrals or prior authorization, and set their own rules for seeing specialists.
The practical question is not simply which option has the lower premium. Consider which doctors and hospitals you want to keep, how frequently you travel, your comfort with network rules, and the maximum out-of-pocket cost you could absorb in a difficult year.
Prescription drug coverage deserves a separate review. Original Medicare generally requires enrollment in a standalone Part D drug plan, while many Advantage plan options include drug coverage. Compare the plan’s formulary, pharmacy network, deductible and cost-sharing for every medication you take; a low monthly premium can be outweighed by a poorly matched drug benefit.
Retiree coverage adds another layer. Before changing anything, ask your former employer or benefits administrator how retirement coverage coordinates with Medicare, whether it requires Part B enrollment, and whether joining an Advantage plan or Part D plan could end employer-sponsored benefits permanently.
Do not assume a spouse’s coverage follows the same rules. Medicare.gov offers plan comparisons and official resources, while a local counselor can help translate network availability among nearby providers into a decision that works in real life. Because choices and enrollment rights vary, confirm current details directly with the plan and applicable government guidance before you enroll or disenroll.
A Medicare gap plan is another name for Medicare Supplement Insurance, also called Medigap. It is private insurance that works with Original Medicare Parts A and B to help pay eligible deductibles, coinsurance, and copayments.
No. A Medicare Supplement policy works only with Original Medicare. You cannot use or buy a Medigap policy while enrolled in a Medicare Advantage plan.
For people eligible for Medicare after January 1, 2020, Plan G generally pays most Medicare-approved out-of-pocket costs after the annual Part B deductible is met. It also covers Part B excess charges where permitted.
Plan G generally provides broader cost-sharing protection, including Part B excess charges. Plan N may have a lower premium but can include office and emergency-room copayments and does not cover Part B excess charges.
No. Modern Medigap policies do not include outpatient prescription drug coverage. People with Original Medicare usually need a separate Medicare Part D plan for medications.
Your main enrollment window is the six-month Medigap Open Enrollment Period, which starts when you are age 65 or older and enrolled in Part B. During this period, insurers generally cannot use your health history to deny coverage or raise your premium.
In most states, plans with the same letter have the same standardized core benefits. Premiums, household discounts, customer service, underwriting rules, and future rate increases can vary by insurer.
No. Medigap generally does not cover routine dental, vision, hearing services, long-term custodial care, or other services not covered by Original Medicare. Separate coverage may be needed for those benefits.
ZRN Health & Financial Services, LLC, a Texas limited liability company
Russell Noga is the CEO of ZRN Health & Financial Services, and head content editor of several Medicare insurance online publications. He has over 18 years of experience as a licensed Medicare insurance broker helping Medicare beneficiaries learn about Medicare, Medicare Advantage Plans, Medigap insurance, and Medicare Part D prescription drug plans.