Medicare Supplement Plan G (also referred to as the “value plan”) has become the most popular Medigap plan among our clients. It is very similar to plan F, with the exception that the Medicare Part B deductible is not covered. After the deductible, Plan G provides full coverage for copays, coinsurance, the Part A hospital deductible, and the 20% that Part B does not cover.

Plan G is one of 10 standardized Medicare Supplement plans (Medigap plans) available. Standardized means that the benefit is the same no matter what company is offering the plan. For example, G with one company is exactly the same as a Plan G with a different company, the only difference is the price.

The US government oversees and regulates the benefits. In most states, there are over 25 companies offering this plan, each at a different price (I will get into pricing a little bit later).

Let’s dive in.

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What Does Plan G Cover?

It is considered a comprehensive Medigap plan because it covers everything Medicare does not pay in full, except an annual deductible of $257 for the calendar year.

What Plan G Covers

Are There Any Co-pays?

NO! There are ZERO co-pays on Plan G. There is, however a “deductible.” This is $257 for 2025 and is associated with doctor visits and outpatient services.

For example, Judy starts on a Plan G Jan 1st, 2025. She goes to the doctor for blood work on Jan 25th. In February, Judy gets a bill in the mail from her doctor asking her to pay the Part B deductible of $257 For the rest of the year, Judy will incur ZERO out-of-pocket costs. No matter how many times she visits a doctor or specialist (as long as they take Medicare), she has already met her deductible.

What Doctors and Hospitals Can I Use?

With this plan (or any standardized Medigap plan), you are able to see ANY doctor or hospital, anywhere in the country that accepts Medicare. No referrals are needed.

Is Foreign Travel Covered?

Yes! Foreign travel is covered under Plan G. There is a maximum of $50,000 coverage for emergencies that occur overseas. There is also a $250 deductible and the coverage is in the form of reimbursement. See our article about foreign travel here.

Medicare Supplement Plan G vs Plan F

The “value plan” has the exact same benefits as Plan F with one exception: it does not cover the Medicare Part B deductible, which is $257 for the year. Besides that, Plan G covers all other expenses that Medicare does not cover, just like Plan F.

Two main reasons Plan G is a better value than Plan F are:

1. Often it is $30+ less per month than Plan F. People can often save $400-$700 per year by switching over to Plan G from a Plan F. Remember, the only benefit difference between the two plans is an annual deductible of $257 per year. The amount you save in premiums is more than the deductible.
   
   
2. Historically, the rate increases are much smaller with Plan G than with Plan F.

Plan F vs. G Rate Increase History

As I just mentioned, the rate increases on Plan G (and Plan N) are much smaller on average vs . Plan F. I’ve attached a screenshot below of a top insurance company’s rate increase, showing changes for Plans F, G, and N.