Your Medicare Options

Most people eligible for Medicare understand that they need something in addition to Medicare, but don’t really know why. If you’d like clarification on what Medicare covers — and more importantly what it does not cover — start with Medicare Basics.

We speak to two types of people every day: those who have done their research and have only a few questions, and those who are frustrated and completely overwhelmed by every aspect of Medicare and plan choices. Wherever you are in that process, understanding your two options is the most important piece of the Medicare puzzle.

Option 1: Medicare Supplement / Medigap

A Medicare Supplement policy is a secondary payer. It pays some or all of the remaining balance after Medicare pays its percentage.

Medicare Supplements are standardized, offering plans A, B, C, D, F, G, K, L, M, and N. That means the coverage and benefits are identical from company to company — there is no difference between one company’s Plan G and another company’s Plan G. The only differences are the name on the card and the monthly premium being charged. That’s worth knowing, because it means shopping a Supplement is mostly about price and the company’s track record on rate increases.

With Plan G you pay the Part B deductible ($283 in 2026) but little else out of pocket — you could be hospitalized for months and owe very little. Supplements also let you see any doctor or hospital in the country that accepts Medicare; regardless of the company name on your card, providers accept these plans widely.

Supplement premiums vary by plan, age, location, and carrier, generally running $100–$250+ per month depending on the plan and your area. You’ll also need to add a standalone Part D prescription plan, typically $10–$60+ per month, plus your prescription copays. We can pull current quotes for your specific situation.

What each Medigap plan covers

Because these plans are standardized, this grid is the same no matter which company you buy from. Each column is a plan; each figure is how much of that benefit the plan pays.

Part A hospital coinsurance also includes 365 extra hospital days. Part B coinsurance is generally 20%. Foreign travel emergency is covered up to plan limits.
† Plans C and F are closed to anyone newly eligible for Medicare on or after January 1, 2020.
* Plan N pays 100% of the Part B coinsurance, except for a small copay for some office visits and for emergency room visits that don’t result in admission.
Plans K and L are the only plans with a yearly out-of-pocket limit — once you reach it, the plan pays 100% of covered services for the rest of the year. That limit is set annually; ask us for the current amount.

Option 2: Medicare Advantage / Part C

Medicare Advantage plans are a lower-cost alternative to Medicare Supplements and are available with small or no monthly premiums. They’re offered by private insurance companies and approved by Medicare. Advantage members are still in Medicare and keep the same rights and protections, and continue to receive regular Medicare-covered services.

Members may also have access to extra services not covered by Original Medicare, such as vision, hearing, dental, and health and wellness programs. Prescription drug coverage is often built in, whereas Supplement policyholders pay separately for a Part D plan.

These are replacement plans: you’d use the Advantage company’s card instead of your red, white and blue Medicare card. You’ll have copays for office visits, procedures, and hospital stays. Most operate as PPO or HMO networks, encouraging or requiring you to use in-network providers — out-of-network care may cost more or not be covered at all, and some providers don’t participate. Premiums are often $0–$75+ per month, varying widely by county and plan.

As long as you’re in good health these plans often work well, but the cost-sharing structure matters more if you develop significant health needs.

Why are Medicare Advantage plans so affordable?

Medicare pays a fixed amount every month to the companies offering Medicare Advantage plans. Those companies have to follow rules set by Medicare — but they can charge different out-of-pocket costs and set different guidelines for how services are delivered. That subsidy is what keeps the monthly premium low; the trade-off shows up in cost-sharing and networks.

Which one is right for you?

There isn’t a single right answer — it depends on your prescriptions, your doctors, your health, your budget, and what’s actually offered in your county. The best plan for your spouse or your neighbor isn’t necessarily the best plan for you. Walking through that comparison is exactly what we do, at no cost to you. See the full three-step approach →

Figures reflect 2026 Medicare costs as published by the Centers for Medicare & Medicaid Services (CMS) and are subject to annual change. Plan premiums cited are general ranges and will vary by carrier, plan, and county — always confirm current rates for a specific plan before enrolling.

Last reviewed: August 2026