A Medicare Supplement Insurance (Medigap) policy, sold by private companies, can help pay some of the health care costs that Original Medicare doesn’t cover, like copayments, coinsurance, and deductibles.

Medigap (Medicare Supplement Insurance) Policies –Medicare Advantage plans (Part C) and Medicare Supplement plans (also known as Medigap) are two different types of private health insurance plans that work with Original Medicare (Part A and Part B) to provide additional coverage. Here are the key differences between the two:

Coverage:

• Medicare Advantage plans: These plans are offered by private insurance companies approved by Medicare. They provide all the benefits of Original Medicare (Part A and Part B) and often include additional benefits such as prescription drug coverage (Part D), vision, dental, hearing, and wellness programs. Some plans may also offer coverage for services not typically covered by Original Medicare, such as fitness memberships or transportation to medical appointments.
• Medicare Supplement plans: These plans are also offered by private insurance companies and are designed to fill in the "gaps" in Original Medicare coverage, such as deductibles, copayments, and coinsurance. They help pay for out-of-pocket costs that Medicare doesn't cover, but they do not typically include additional benefits beyond what Original Medicare offers. However, you may be able to purchase a separate standalone prescription drug plan (Part D) to go along with your Medicare Supplement plan.

Cost:

• Medicare Advantage plans: Premiums for Medicare Advantage plans vary depending on the plan and the insurance company offering it. Some plans may have low or even $0 premiums, but you still need to continue paying your Medicare Part B premium. Additionally, Medicare Advantage plans may have deductibles, copayments, and coinsurance for the services they cover.
• Medicare Supplement plans: Medicare Supplement plans typically have higher premiums than Medicare Advantage plans, but they may offer more predictable out-of-pocket costs because they cover a larger portion of your Medicare-related expenses. With a Medicare Supplement plan, you generally still need to pay your Medicare Part B premium in addition to the plan premium.

Network:

• Medicare Advantage plans: Most Medicare Advantage plans use provider networks, such as health maintenance organizations (HMOs) or preferred provider organizations (PPOs). You may be required to use doctors and hospitals within the plan's network, or you may pay higher costs if you go out of network, depending on the plan.
• Medicare Supplement plans: Medicare Supplement plans do not typically have provider networks, so you can generally see any doctor or specialist who accepts Medicare patients nationwide. This gives you more flexibility in choosing healthcare providers.

Prescription Drug Coverage:

• Medicare Advantage plans: Many Medicare Advantage plans include prescription drug coverage (Part D) as part of their benefits package. If your plan includes Part D coverage, you generally cannot purchase a separate standalone Part D plan.
• Medicare Supplement plans: Medicare Supplement plans do not include prescription drug coverage, so if you want drug coverage, you'll need to purchase a separate standalone Part D plan.

In summary, the main difference between Medicare Advantage plans and Medicare Supplement plans lies in the scope of coverage, cost structure, network restrictions, and prescription drug coverage. Your choice between the two will depend on your individual healthcare needs, budget, and preferences for provider access and out-of-pocket costs.

More About Medigap Policies

You must have Part A and Part B.
You pay a monthly premium for your Medigap policy in addition to your monthly Part B premium.
A Medigap policy only covers one person. Spouses must buy separate policies.
It’s important to compare Medigap policies since the costs can vary and may go up as you get older. Some states limit Medigap costs.
The best time to buy a Medigap policy is during the 6-month period that begins on the first day of the month in which you’re 65 or older and enrolled in Part B. (Some states have additional open enrollment periods.) After this enrollment period, your option to buy a Medigap policy may be limited and it may cost more. For example, if you turn 65 and are enrolled in Part B in June, the best time for you to buy a Medigap policy is from June to November.
If you’re under 65, you won’t have this open enrollment period until you turn 65, but state law might give you a right to buy a policy before then.
If you have a Medigap policy and join a Medicare Advantage Plan (like an HMO or PPO), you may want to drop your Medigap policy. Your Medigap policy can’t be used to pay your Medicare Advantage Plan copayments, deductibles, and premiums. If you want to cancel your Medigap policy, contact your insurance company. If you drop your policy to join a Medicare Advantage Plan, in most cases you won’t be able to get it back.
If you have a Medicare Advantage Plan, it’s illegal for anyone to sell you a Medigap policy unless you’re switching back to Original Medicare. Contact your State Insurance Department if this happens to you.
Information provided by: Medicare and You Handbook

To be eligible to enroll in a Medicare Supplement plan, you must be enrolled in both Medicare Part A and Part B. The best time to enroll in a plan is during the Medigap Open Enrollment Period, which begins on the first day of the month that you are both age 65 or older and enrolled in Part B, and lasts for six months. During this period, you have the guaranteed issue right to join any plan of your choice, meaning that you may not be denied coverage based on any pre-existing conditions. If you miss this enrollment period and attempt to enroll in the future, you may be denied coverage based on your medical history.

Dental and Vision insurance is not covered and you can learn more or apply for it here: