As Medicare beneficiaries consider their options for supplemental insurance, Plan N and Plan G stand out as popular choices. These plans provide additional coverage to help manage the costs that Original Medicare does not cover, such as copayments, coinsurance, and deductibles. This article compares Medicare Supplement Plan N and Plan G as they stand in 2025, providing insights into their benefits, costs, and key differences to help you make an informed decision.
Overview of Medicare Supplement Plan G in 2025
Medicare Supplement Plan G remains one of the most comprehensive supplement plans available to new Medicare enrollees. It covers most of the out-of-pocket expenses associated with Medicare Part A and B, except for the Medicare Part B deductible.
Key Features of Plan G:
- Coverage: Plan G covers Part A deductible and coinsurance, Part B coinsurance or copayment, Part A hospice care coinsurance or copayment, skilled nursing facility care coinsurance, and foreign travel emergency health care.
- Part B Excess Charges: Plan G covers 100% of Part B excess charges. This means if a doctor charges more than the Medicare-approved amount for a service, Plan G will cover the difference.
- Out-of-Pocket Costs: Besides the monthly premium, the only major out-of-pocket expense not covered by Plan G is the Medicare Part B deductible, which is $226 in 2025.
Overview of Medicare Supplement Plan N in 2025
Medicare Supplement Plan N is a cost-effective choice that offers a slightly lower level of coverage compared to Plan G but comes with lower premium costs. Plan N covers most of the same benefits as Plan G but includes some cost-sharing measures.
Key Features of Plan N:
- Coverage: Similar to Plan G, Plan N covers the Part A deductible, Part B coinsurance, skilled nursing facility care coinsurance, and foreign travel emergency health care up to plan limits.
- Copayments: Plan N requires a copayment of up to $20 for some office visits and up to $50 for emergency room visits that do not result in an inpatient admission.
- No Coverage for Part B Excess Charges: Unlike Plan G, Plan N does not cover Part B excess charges, which are the costs a doctor may charge beyond what Medicare approves.
Cost Comparison
Premiums:
- Plan G: Generally has higher premiums than Plan N due to its more comprehensive coverage, particularly because it covers Part B excess charges.
- Plan N: Offers lower premiums in exchange for additional out-of-pocket expenses like copayments for doctor visits and emergency room visits, and the lack of coverage for Part B excess charges.
Out-of-Pocket Costs:
- Plan G: Besides the premium, the main out-of-pocket cost is the Medicare Part B deductible.
- Plan N: Beneficiaries may pay lower premiums but will have copayments for doctor visits and ER visits and could face additional costs if a provider charges more than what Medicare approves (Part B excess charges).
Choosing Between Plan N and Plan G in 2025
The choice between Plan G and Plan N largely depends on your healthcare needs, financial situation, and tolerance for out-of-pocket expenses:
- Healthcare Usage: If you frequently visit healthcare providers or require specialists who charge Part B excess charges, Plan G might be more cost-effective despite higher premiums. It offers the peace of mind of having nearly all costs covered after premiums.
- Budget Concerns: If you are on a tighter budget and relatively healthy, Plan N may be more appealing. The lower monthly premiums can save money upfront, though you’ll need to pay copayments for office and ER visits.
Both Medicare Supplement Plan N and Plan G offer valuable coverage beyond what Original Medicare provides. Plan G is ideal for those seeking maximum coverage and wanting to avoid unexpected out-of-pocket expenses, while Plan N can be more suitable for those who are cost-conscious and comfortable with a slight increase in out-of-pocket costs. Assessing your personal health care needs and financial capabilities will guide you to the best choice between these two plans in 2025.