Exploring Medicare Supplemental Insurance (Medigap) Cost: Real Numbers and What Drives Them
Exploring Medicare supplemental insurance (Medigap) cost is the single smartest thing you can do before picking a plan. The starting premium matters, but what that premium does over the next 10 or 15 years matters more. Most people don't hear that until it's too late.
I'm Anthony Orner, a licensed Medicare broker, and I'll break down the real numbers so you can compare with confidence.
Call for Free Advice — 855-559-1700What Medigap premiums actually cover in 2025–2026
Medigap fills the gaps Original Medicare leaves behind. Depending on the plan letter, that includes:
- Part A deductible ($1,676 per benefit period in 2026)
- Part B coinsurance (the 20% Medicare doesn't pay)
- Skilled nursing facility coinsurance ($209.50/day for days 21–100)
- Part B excess charges (Plan F and Plan G cover these)
- Foreign travel emergency care (up to plan limits)
You still pay your Part B premium ($202.90/month in 2026) separately. Medigap is on top of that.
Three pricing models that determine your rate
Every Medigap carrier uses one of three pricing methods. This is where people get blindsided years down the road.
- Community-rated: Everyone pays the same premium regardless of age. Your rate won't climb just because you got older.
- Issue-age-rated: Your premium is based on the age you were when you bought the policy. Younger buyers lock in a lower base rate.
- Attained-age-rated: Starts low, then increases automatically as you age. These look cheap at 65 but can stack up fast by your mid-70s.
On top of the pricing model, carriers can file block rate increases when claims in your pool rise. Age increases plus block increases in the same year can mean 10–18% jumps. Ask about a carrier's rate increase history before you sign.
Average Medigap costs by plan letter and state
Medigap premiums vary widely by state, plan letter, and carrier. Here are general ranges for a 65-year-old in 2025:
- Plan G: Roughly $120–$300/month depending on state and carrier
- Plan N: Typically 15–25% less than Plan G from the same carrier
- High-deductible Plan G: Often under $50/month, but you pay the first $2,800 out of pocket annually
Rates vary by carrier. Two companies selling Plan G in the same zip code can differ by $80/month or more. That's the same exact coverage for a very different price.
How to compare carriers and find the best value
Always compare the same plan letter across carriers. A Plan G is a Plan G. The benefits are identical. The only difference is price and long-term rate behavior.
Ask about the carrier's rate increase history over the past 5 years. The cheapest premium today doesn't mean the cheapest plan over time. Some carriers price aggressively low to attract new members, then increase sharply once the block ages.
When to lock in your rate
Your Medigap Open Enrollment Period starts the month you turn 65 and are enrolled in Part B. It lasts 6 months. During this window, no carrier can deny you or charge more for health conditions.
After that window closes, medical underwriting applies. If you've developed conditions like diabetes or heart disease, you could face higher rates or outright denial. Start comparing carriers at least 6 months before your Part B effective date so you don't feel rushed.
Why working with a broker costs you nothing extra
Brokers are paid by the insurance company, not by you. Your premium is the same whether you buy direct or through a broker. The difference is you get someone who can pull rates from multiple carriers at once and explain the pricing model each one uses.
I compare plans from all major carriers in your area. One call, real numbers, no pressure.
Get a free Medigap rate comparison today.
Call 855-559-1700 or Get a Free Quote
No sign-up required. We compare carriers so you don't have to.