If you are in the market for a Medicare Supplement with lower premiums, you should consider the high deductible Plan F or the Plan N Medicare Supplement. Both of these plans allow you to go to any doctor or hospital that accepts Medicare, they both limit your out of pocket maximum, and they are standardized plans that are regulated both federally and on a state level.
High Deductible Plan F Benefits
The high deductible Plan F has the same benefits as the Plan F; however, the difference is the $2,110 deductible that is applied before coverage begins. This should lower your premium drastically usually by 70%. In the state of New York, we have seen policies go from $300+ a month to around $110 per month with companies like Humana when choosing the high deductible plan F.
Things to consider when applying for medigap insurance
Something to consider would be choosing the Plan N Medicare Supplement over the High Deductible Plan F. Since the premiums are comparable and there are less out of pocket costs with the Plan N it makes it a little easier on the budget when health issues arise. The Plan N covers the Part A deductible and 20% co-insurance where the Plan F High Deductible gives you a deductible that is for both parts of Original Medicare.
The Plan N only has a deductible of $147 and a $20 co-pay when you visit the doctor. So in a nutshell, your deductible is reduced by roughly $2,000 dollars and you are only responsible for a $20 co-pay when you see the doctor. This is less drastic than a $2,100 deductible. However, the premiums will be roughly $20 – $30 higher per month for this plan ($360 a year on a high guesstimate).
High Deductible Plan F vs. Plan N Example
Here are two examples of Medicare Supplement Rates and the differences between a High Deductible Plan F and a Plan N.
Mississippi Medicare Supplement Rates – Example April 2013
Plan N Medicare Supplement – 65 Female is $73.73 per month
Plan F (High Deductible) – 65 Female is $43.40 per month
California Medicare Supplement Rates – Example
Plan N Medicare Supplement – 65 Female is $90 per month
Plan F (High Deductible) – 65 Female is $46 per month