Medicare Plan G is the second most popular Medicare supplement (next to Plan F). Medicare Supplement Plan G is very similar to Plan F. However, with the Plan G, you are responsible for your Medicare Part B deductible. The Medicare Part B deductible in 2019 is $185. Once you meet your annual deductible, you are then covered and will not be responsible for any co-pays.
Beneficiaries that are willing to pay a small deductible can usually save a substantial amount of money with the Plan G versus the Plan F.
Barbara who has a heart condition is enrolled into a Medicare Supplement Plan G. She needs to see her cardiologist a few times a year. In January, she goes to her first doctor visit for the year. The specialist bills Medicare, which pays 80% share of the bill except for the $185 outpatient deductible, which is billed to Barbara.
Once she has met her $185 deductible, she will then be covered. This means she doesn’t have to worry about any more doctor copays. She won’t pay for lab-work or imaging. If she has a surgery, Medicare will cover 80% and her Plan G will cover 20%. Plan G is a really great Medigap plan in this respect.
Lower premiums are a great start, but there is another reason why Medicare Plan G has become a consumer favorite. It is because Plan G is also a long-term rate saver. Medicare supplemental Plan G has a lower rate increase trend from year to year than Plan F. In recent years, we’ve seen Medicare Plan G sometimes have an increase of 3% or less with some carriers. This is considerably lower than the rate increases from year to year on Plan F.
What’s more – if you are switching from a Plan F that has already paid your Part B deductible for the current calendar year, you won’t be subject to that deductible until next year. Hurray for Medicare Supplement G!