What Is Medicare Part G? Benefits, Costs & Who It's Right For? Coverage and Costs Explained

Medicare Part G, more accurately known as Medigap Plan G, is one of the most comprehensive Medicare Supplement Insurance (Medigap) policies available to new enrollees today. It’s designed to work alongside Original Medicare (Parts A and B), helping cover many of the out-of-pocket costs that Medicare doesn’t pay for, like coinsurance, copayments, and deductibles.

If you're approaching Medicare eligibility or helping a loved one navigate coverage options, understanding what Plan G covers, how it compares to other plans, and whether it’s the right fit can help you avoid unexpected medical bills and enjoy more predictable healthcare costs.

Let’s explore what Medigap Plan G is, how it works, and how to decide if it’s the best option for your needs.

What Is Medicare Part G?

Medicare Part G is a standardized Medicare Supplement Insurance plan, also known as Medigap Plan G. It’s offered by private insurance companies, not the federal government, and is specifically designed to complement Original Medicare.

Here’s how it works:

• Original Medicare (Parts A and B) covers much of your hospital and medical care, but it leaves behind deductibles, copayments, and coinsurance.

• Plan G steps in to cover most of those leftover costs except for the Medicare Part B deductible.

Medigap Plan G is often compared to Plan F, which was the most comprehensive plan available for years. The biggest difference? Plan G doesn’t cover the Part B deductible, while Plan F does. However, Plan F is no longer available to people who became eligible for Medicare on or after January 1, 2020, making Plan G the most complete plan new enrollees can get.

Anyone who’s enrolled in both Medicare Part A and Part B can apply for Plan G. To get the best rate and avoid medical underwriting, it’s wise to enroll during your six-month Medigap open enrollment period, which starts the month you turn 65 and sign up for Part B.

What Does Medicare Part G Cover?

Plan G offers broad coverage of out-of-pocket costs that would otherwise fall on you. Here’s what’s typically included:

• Hospital coverage: Plan G covers all Part A coinsurance and hospital costs for up to 365 extra days after Medicare benefits run out.

• Part A deductible: This can be a large out-of-pocket cost for hospital stays; Plan G covers it.

• Skilled nursing facility coinsurance: Helpful for longer recoveries in rehab or nursing care settings.

• Part B coinsurance/copayments: This includes doctor visits, specialist appointments, and outpatient care.

• Part B excess charges: Some doctors charge more than Medicare’s approved amount. Plan G helps cover that difference.

• Hospice care coinsurance: Helps reduce costs during end-of-life care.

• The first three pints of blood: Medicare doesn’t cover them, Plan G does.

• Foreign travel emergency coverage: Typically covers 80% of emergency medical costs abroad, up to plan limits.

What’s not covered?

• The Medicare Part B deductible

• Prescription drugs (Part D)

• Dental, vision, or hearing coverage

For these additional needs, you can pair Plan G with a standalone prescription drug plan and consider separate dental or vision plans.

Pros and Cons of Medicare Part G

Pros:

• Extensive Coverage: Plan G is one of the most comprehensive options available to new Medicare enrollees.

• Covers Part B Excess Charges: Not all plans do, but Plan G provides peace of mind for those who see providers that may bill more than Medicare’s standard amount.

• No Network Restrictions: You can see any doctor or provider who accepts Medicare, with no need to stay in-network.

• Predictable Costs: With fewer surprise bills, it’s easier to plan and budget your healthcare expenses.

Cons:

• Higher Premiums: You’ll pay more monthly than with lower-tier Medigap plans.

• Doesn’t Cover Part B Deductible: You’ll pay this out-of-pocket each year (around $240 in 2024).

• No Drug, Dental, or Vision Coverage: You’ll need to add separate plans if you want full coverage in these areas.

• Excess Charge Coverage May Be Rarely Needed: Not all providers charge excess fees, so this benefit may go unused for some.

Plan G offers robust protection, but it’s not the cheapest option. If you want maximum peace of mind and don’t mind a slightly higher monthly premium, it could be the right plan for you.

Costs & Premiums

When considering Plan G, it’s important to factor in the monthly premiums in addition to what you’ll continue paying for Medicare Part B.

• Typical premiums (2024–2025): Between $100 and $150+ per month, depending on where you live.

• What affects your premium? Age, gender, tobacco use, state regulations, pricing method (community-rated, issue-age, or attained-age), and your chosen insurance company.

• High-Deductible Plan G: This version of Plan G comes with much lower monthly premiums but requires you to pay a high annual deductible, typically between $2,800 and $2,900, before benefits kick in.

This plan is ideal for people who want protection from catastrophic costs but don’t mind paying more upfront if they use care infrequently.

Plan G vs. Other Medigap Plans

There are several Medigap options available, and it’s helpful to compare how Plan G stacks up:

• Plan G vs. Plan F: Nearly identical, but Plan G doesn’t cover the Part B deductible. Plan F is only available to those who were eligible for Medicare before January 1, 2020.

• Plan G vs. Plan N: Plan N generally has lower premiums but comes with copays for doctor and ER visits and doesn’t cover Part B excess charges.

For most new enrollees looking for broad coverage, Plan G offers a strong balance between affordability and benefits.

Is Medicare Part G Right for You?

Choosing the right plan depends on your health needs, budget, and preferences. Plan G is a strong option if you:

• Want comprehensive protection against high out-of-pocket costs

• Prefer freedom of provider choice without network restrictions

• Are newly eligible for Medicare and want something close to Plan F

• Don’t mind paying the small Part B deductible in exchange for lower premiums compared to Plan F

However, it might not be the best choice if:

• You want the lowest monthly premium possible

• You rarely visit the doctor and are okay with some out-of-pocket costs

• You need drug, dental, or vision coverage (which Plan G doesn’t provide)

When and How to Enroll

The best time to enroll in a Medigap Plan G policy is during your six-month Medigap Open Enrollment Period, which begins the month you turn 65 and are enrolled in Medicare Part B.

During this time:

• You have guaranteed issue rights, meaning insurance companies can’t deny you coverage or charge more based on your health history.

• You’ll typically get the lowest available premium for your age and location.

After this window:

• You may still apply, but insurance companies can require medical underwriting and may deny your application or charge more if you have health conditions.

Tips for Choosing a Plan G Policy

• Compare quotes from several insurers; coverage is standardized, but pricing isn’t.

• Understand pricing structures: Community-rated (same price for everyone), issue-age-rated (based on your age at purchase), and attained-age-rated (increases as you age).

• Watch for extras: Some insurers offer additional perks like dental or vision discounts, nurse hotlines, or wellness programs.

• Check state-specific rules: Certain states offer additional protections or Medigap options that might influence your decision.

Conclusion

Medicare Part G, or Medigap Plan G, is a top choice for new Medicare beneficiaries who want peace of mind and predictable healthcare costs. It fills most of the gaps left by Original Medicare, offering broad protection from unexpected bills, while still giving you the flexibility to see any provider who accepts Medicare.

If you’re looking for a plan that strikes the right balance between affordability and coverage, Plan G may be the solution.

Need help navigating Medicare or comparing plans?Contact Unified Health today for free guidance from licensed agents. We’ll help you find the right fit for your health needs, budget, and peace of mind.

MULTIPLAN_UH_25149_C