Plan G vs Plan N: Which Medigap Plan is Right for You?
Choosing between Medigap Plan G and Plan N? Learn the key differences in coverage and costs to make the right decision.
The Two Most Popular Medigap Plans
Plan G and Plan N are the top choices for new Medicare beneficiaries. Both offer excellent coverage, but they handle costs differently.
Understanding these differences helps you choose the plan that fits your healthcare usage and budget.
What Plan G Covers
Plan G provides comprehensive coverage with minimal out-of-pocket costs:
- Part A deductible ($1,632 in 2025)
- Part A coinsurance and hospital costs
- Part B coinsurance (usually 20% of Medicare-approved amounts)
- Part B excess charges (when doctors charge more than Medicare pays)
- First 3 pints of blood
- Skilled nursing facility coinsurance
- Hospice coinsurance
- Foreign travel emergency coverage (up to plan limits)
What You Pay with Plan G
Monthly premium plus the annual Part B deductible ($240 in 2025). After that, nearly everything is covered.
What Plan N Covers
Plan N covers the same services as Plan G except:
- Part B excess charges: Not covered (you pay up to 15% above Medicare's approved amount)
- Doctor office visits: Up to $20 copay per visit
- Emergency room visits: Up to $50 copay (waived if admitted)
What You Pay with Plan N
Monthly premium, Part B deductible, plus the copays mentioned above.
Cost Comparison
Premium Differences
Plan N premiums are typically $40-$60 lower per month than Plan G. This saves $480-$720 annually in premiums.
Break-Even Analysis
If Plan N saves you $50/month ($600/year), you can afford:
- 30 doctor visits at $20 each
- 12 ER visits at $50 each
- Or a combination of both
Most people don't reach this break-even point, making Plan N the better financial choice.
Who Should Choose Plan G
High Healthcare Users
If you see doctors frequently or have multiple chronic conditions, the copays with Plan N can add up quickly.
Preference for Predictable Costs
Some people prefer paying a higher premium to avoid any surprise costs when receiving care.
Areas with Excess Charges
If you live where doctors commonly charge excess fees, Plan G's protection might be worth the extra premium.
Who Should Choose Plan N
Moderate Healthcare Users
If you see doctors occasionally and rarely visit the emergency room, Plan N usually saves money.
Budget-Conscious Seniors
The lower premium makes Plan N attractive if you want good coverage while minimizing monthly costs.
Healthy Seniors
If you're in good health and don't expect frequent medical care, Plan N's savings can be significant.
Key Considerations
Excess Charges Reality
Part B excess charges are rare. Most Medicare providers accept Medicare's approved amounts as payment in full.
Emergency Room Copays
The $50 ER copay is waived if you're admitted to the hospital. It only applies to ER visits where you're treated and released.
Doctor Visit Copays
The $20 copay applies to office visits, not to procedures or tests, which are covered at 100% after the Part B deductible.
Making Your Decision
Calculate Your Expected Usage
Estimate how many doctor visits you typically have per year. If it's fewer than 25-30, Plan N likely saves money.
Consider Your Risk Tolerance
Are you comfortable with small copays in exchange for lower premiums? Or do you prefer comprehensive coverage regardless of cost?
Both Plans Offer Excellent Protection
You can't go wrong with either choice. Both plans provide comprehensive coverage and protect you from major medical expenses.
The Bottom Line
For most people, Plan N provides excellent value by balancing comprehensive coverage with affordable premiums.
Plan G offers slightly more comprehensive coverage for those who prefer maximum protection and predictable costs.
Your choice depends on your healthcare usage patterns, budget preferences, and comfort level with small copays.