Plan G vs. Plan N: Which Medicare Supplement to Choose

When exploring Medicare Supplement (Medigap) plans, Plan G and Plan N frequently rise to the top of the discussion, especially for those who are new to Medicare or looking for a balance of coverage and cost. Both plans are designed to fill the gaps in Original Medicare (Parts A and B), but they do so with slightly different cost-sharing structures. Understanding these differences is key to choosing the best fit for your healthcare needs and budget.

what is plan g medicare,What Plan G and Plan N Have in CommonIt’s important to remember that all Medigap plans are standardized by the federal government. This means that a Plan G from one insurance company offers the exact same core benefits as a Plan G from any other, and the same applies to Plan N. Both Plan G and Plan N provide excellent coverage for many of Medicare’s out-of-pocket costs in 2025:

• Medicare Part A Hospital Coinsurance and Hospital Costs: Both plans cover 100% of the coinsurance for inpatient hospital stays, including an additional 365 days after Medicare benefits are exhausted.
• Medicare Part A Deductible: Both cover the significant Part A deductible ($1,676 in 2025).
• Medicare Part B Coinsurance or Copayment: Both cover the 20% coinsurance for Medicare Part B services once the Part B deductible is met. (However, Plan N has some exceptions, as detailed below).
• Skilled Nursing Facility (SNF) Care Coinsurance: Both cover the daily coinsurance for SNF stays (days 21-100).
• First 3 Pints of Blood: Both cover the cost of the first three pints of blood.
• Part A Hospice Care Coinsurance or Copayment: Both cover these minimal costs.
• Foreign Travel Emergency: Both offer 80% coverage for emergency care outside the U.S. (after a $250 deductible, up to a $50,000 lifetime limit).

The Key Differences Between Plan G and Plan N

Despite their similarities, two main areas distinguish Plan G and Plan N:

1. Medicare Part B Deductible:
   • Plan G: Does NOT cover the Medicare Part B annual deductible ($257 in 2025). You pay this amount out-of-pocket each year. Once it’s met, Plan G covers virtually everything else for Medicare-approved services.
   • Plan N: Does NOT cover the Medicare Part B annual deductible ($257 in 2025). Like Plan G, you are responsible for paying this amount.
2. Medicare Part B Excess Charges:
   • Plan G: Covers 100% of Medicare Part B excess charges. These occur when a healthcare provider charges up to 15% more than the Medicare-approved amount for a service (which is legal in some states). Plan G ensures you pay nothing extra.
   • Plan N: Does NOT cover Medicare Part B excess charges. If you see a provider who bills an excess charge, you would be responsible for paying that additional 15% out of pocket. (Note: Some states, like New York, Connecticut, Massachusetts, Minnesota, Ohio, Pennsylvania, Rhode Island, and Vermont, prohibit excess charges, making this difference irrelevant in those locations).
3. Part B Outpatient Service Copayments:
   • Plan G: Pays 100% of the Part B coinsurance after your Part B deductible is met. You have no copayments for doctor visits or emergency room visits.
   • Plan N: Requires small copayments for certain services:
     • Up to $20 for some doctor office visits.
     • Up to $50 for emergency room visits that do not result in inpatient admission.
     • After these copays, Plan N covers any additional Part B coinsurance for the visit.

Plan G vs. Plan N: Which to Choose?

The decision boils down to your personal health, financial comfort level, and priorities:

Choose Medicare Plan G if you:

• Want Maximum Predictability and Minimal Out-of-Pocket Costs: Once your Part B deductible is paid, your out-of-pocket costs for Medicare-approved services are virtually $0 for the rest of the year. This provides the highest level of financial certainty.
• Anticipate Frequent Doctor Visits or Hospitalizations: If you have chronic conditions, see specialists often, or expect to use healthcare services regularly, Plan G’s comprehensive coverage will likely save you money in the long run by eliminating copays and excess charges.
• Value Complete Protection from Excess Charges: If you live in or travel to states where Part B excess charges are allowed, Plan G provides full protection from these potentially unexpected bills.
• Prefer a “Set-and-Forget” Approach: If you want to pay your premium and then not worry about individual visit copays, Plan G offers that peace of mind.
• Are New to Medicare (eligible Jan. 1, 2020, or later): Since Plan F is no longer available to new enrollees, Plan G is the most comprehensive Medigap plan you can enroll in.

Choose Medicare Plan N if you:

• Prefer Lower Monthly Premiums: Plan N typically has lower monthly premiums than Plan G because you take on some of the cost-sharing (copays and potential excess charges). The premium savings can be significant.
• Are Generally Healthy and Don’t Visit the Doctor Often: If you only have a few doctor visits a year, the occasional $20 copay might be less than the annual premium savings you get by choosing Plan N over Plan G.
• Live in a State that Prohibits Part B Excess Charges: If your state doesn’t allow providers to charge excess charges, one of Plan G’s key advantages is eliminated, making Plan N a potentially more attractive, lower-premium option.
• Are Comfortable with Some Cost-Sharing: You’re okay with paying a small copay for doctor visits and ER visits in exchange for a lower monthly premium.
• Are Strategic About Provider Choice: You’re willing to confirm that your doctors accept Medicare assignment and don’t charge excess charges.

Making the Final Decision

1. Compare Premiums in Your Area: Get quotes for both Plan G and Plan N from multiple reputable insurance companies in your specific ZIP code for 2025. The premium difference can be substantial.
2. Estimate Your Healthcare Usage: Consider how often you expect to visit the doctor or emergency room. Multiply those visits by the potential copays for Plan N.
3. Factor in Excess Charges: If you live in a state that allows excess charges, consider the risk and potential cost of these.
4. Long-Term Health: Think about your health trajectory. While Plan N might save money now if you’re very healthy, Plan G offers a stronger safety net if your health needs increase in the future. Remember that switching Medigap plans later often requires medical underwriting, which could lead to denial or higher premiums.

Both Plan G and Plan N offer excellent supplemental coverage. Your ideal choice will depend on your individual healthcare habits, your tolerance for out-of-pocket expenses, and your priority.