Medicare Supplement Plan N has been popular since it was first introduced in 2010. Also called Medigap Plan N, this standardized supplement option was created for consumers who like the idea of paying a lower premium in exchange for taking on a small annual deductible and some copays.
Here’s a graph that demonstrates what Medicare Supplement Plan N covers, and what is left for you to cover:
Medigap Plan N: New Plan with Big Savings
Plan N is relatively new to the Medicare supplement world. Insurance companies first offered it in June of 2010. It offers identical basic benefits as the more popular Plan F, but the policyholder agrees to pay a few things. This includes the small annual outpatient deductible of $183 as well as co-payments up to $20 for doctor appointments. Emergency room visits have a $50 copay.
People with Medigap N also pay excess charges to some medical providers. Click here for a description: What is an excess charge?
Sometimes people who enroll in Plan N also look at Plan G as an alternative. Plan G covers the little copays and excess charges so there are less bills showing up in your mailbox.
Plan N – Let’s look at an example
Karen tells her agent that she visits the doctor only once or twice a year. She feels that a full coverage Plan F isn’t really necessary due to her low usage. Her agents explains that Plan N has premiums that are about 30% less than Medigap F if she would be willing to take on copays for a few minor things.
For inpatient care, Medicare Supplement Plan fully covers her hospital deductible. For outpatient care, Karen will pay the Part B deductible ($183) upon her first doctor visit of the year. She then pays a co-payment of up to $20 when she sees her physicians during the rest of the year. She may pay an excess charge if her doctor is not a participating Medicare doctor. Let’s look at how these expenses might affect her.
Let’s say Karen visits her podiatrist in the middle of the year, after her deductible has already been met. Medicare’s assigned rate for a visit to this foot specialist is $100. If the doctor does not accept assigned rates, he can balance bill Karen for up to 15% beyond the approved rate for this visit, or a maximum of $15 in this case.
Karen owes her $20 copay, and her supplement will pay the remainder of the approved charges.
If you find that Plan N hard to understand because of the excess charges and copays, but you still like the idea of lower premiums, then you might check out Plan G. On Plan G, excess charges are covered by your Medigap plan. On Plan G, your cost-sharing is limited to the Part B deductible only.
Medigap Plan N is offered by a wide variety of carriers
Though Medicare Plan N is one of the 10 federally standardized Medicare supplement options, each insurance company can choose whether to sell it or not. Fortunately, this policy is fairly easy to find since many carriers offer it, but checking each insurance company in your state for rates can take an extensive amount of time.
Boomer Benefits sells Medicare supplement Plan N policies for numerous different insurance companies, such as Blue Cross Blue Shield Medicare Supplement Plan N, as well as many others. Need Plan N quotes? Our software provides not just rates but also a comparison of insurance company financial ratings and their history of rate increases too. Call us today or you can use the link below to request quotes via email.