Medigap Plan N
Medicare Plan N is currently one of the most affordable and popular Medigap plans since it was first introduced in 2010. If you’re the type of person who likes the idea of paying lower premiums in exchange for taking on a small annual deductible and some copays, this might be the right plan for you.
Medigap Plan N benefits are “standardized”, meaning the benefits are the same regardless of which insurance provider you choose.
The only difference is . . . different insurance companies can charge different rates for the same exact plan.
Additionally, Medicare Plan N costs approximately 25% less than a Medigap Plan F, known as the “Cadillac” plan.
For someone who is relatively healthy and does not use healthcare/doctor services more than 4-5 times per year, Medigap Plan N can save you a great deal of money on your healthcare costs.
What Does Medigap Plan N Cover?
Here’s what you get with a Plan N:
- Complete coverage of Medicare Part A deductible
- Up to 365 days of complete hospital coverage
- Skilled Nursing Facility Care
- Hospice Care Services
- Coverage for the first three pints of blood
- Medigap Plan N will pay 100% of the Part B coinsurance, except for a $20 co-payment for some office visits and a $50 co-payment for emergency room visits, if they DO NOT result in an inpatient admission.
- Medigap Plan N DOES NOT cover excess charges, which is the 15% a provider can charge over Medicare approved cost.
- You can go to any hospital, doctor, provider in the United States, as long as, they accept Medicare.
- Medigap Plan N also has a lifetime foreign travel benefit of $50,000.
Simply stated, Medigap Plan N may be a good option for you because if you are interested in low out-of-pocket costs and insurance premium costs.
Medigap Plan N - Consider this Example:
Lenore is relatively active and only visits her doctor twice per year. She’s recently retired, lives on a fixed income, and feels like having a more comprehensive plan, like a Medigap Plan F, really isn’t necessary.
Her agent Chris explains that Medigap Plan N has premiums that are about 25% lower than Medigap Plan F, if she doesn’t mind being responsible for a few out-of-pocket costs throughout the year.
With a Medigap Plan N, Lenore’s Medicare Part A Hospital deductible will be fully covered. But, she will be responsible for the Medicare Part B deductible of $183 in 2018, up to $20 per doctor’s office visit, and a $50 co-payment if she has an emergency room visit and is not admitted.
Additionally, she may pay an 15% excess charge if her doctor is not a Medicare participating provider. Let’s take a look, at how the out-of-pocket expenses associated with a Medigap Plan N might affect her.
Lenore visits her gynecologist in the middle of the year, after her $183 Part B deductible has already been met. Medicare’s assigned rate for a visit to this gynecologist is $100. If her doctor does not accept assigned rates, she can balance bill Lenore for up to 15% beyond the approved rate for this visit, or a maximum of $15 in this case.
Lenore will also owe her $20 copay for the office visit, then her Medigap Plan N will pay the remainder of the Medicare approved charges.
As you can see, Medigap Plan N has a few moving parts, but if you’re relatively healthy and on a fixed budget it could be a real good option for you.
If Medigap Plan N sounds like a good fit for you, look no further. Give us a call at 1 (844) 280-0785, and one of our friendly Medicare Insurance professionals will help you get all your questions answered.