Medicare Supplement Plan F: Is It Going Away?

People who are already enrolled in Plan F can keep it. Medigap policies are guaranteed renewable as long as you maintain enrollment and pay the monthly premium associated with your policy.

Original Medicare pays for about 80 percent of healthcare-related costs. Supplemental insurance policies like Medigap can help pay for the remaining costs, sometimes significantly lowering out-of-pocket expenditures.

About 1 in 4 people with original Medicare also have a Medigap policy. These policies are sold by private companies and are associated with an additional monthly premium.

Plan F is one of the 10 standardized Medigap plans. In addition to the standard version, a high-deductible option is also available in some areas. This option has a lower monthly premium, but you must meet a deductible of $2,340 in 2020 before your policy starts paying for costs.

Out of all of the Medigap plans, Plan F is the most inclusive. Plan F covers 100 percent of the following costs:

• Medicare Part A deductible
• Medicare Part A coinsurance and hospital costs
• Medicare Part A skilled nursing facility coinsurance
• Medicare Part A hospice coinsurance and copays
• Medicare Part B deductible
• Medicare Part B coinsurance and copays
• Medicare Part B excess charges
• Blood (first three pints)

Plan F also covers 80 percent of medical needs when you’re traveling outside the United States.

Because of a new law, Medigap plans are no longer allowed to cover the Medicare Part B deductible. This change went into effect on January 1, 2020.

This new rule affected some Medigap plans that cover the Part B deductible, including Plan F. This means that people who enroll in Medicare in 2020 and beyond will no longer be able to enroll in Plan F.

If you were eligible for Medicare prior to January 1, 2020, but didn’t enroll at that time, you may still be able to buy a Plan F policy.

Some Medigap plans have similar benefits to Plan F. If you’re eligible for Medicare in 2020 and would like to purchase a Medigap policy, consider the following plans:

• Plan G
• Plan D
• Plan N

The table below compares Plan F coverage with these other Medigap plans.

Plan F is one of the 10 types of Medigap plans. It covers a wide breadth of expenditures that original Medicare doesn’t pay for.

Starting in 2020, new rules prohibit Medigap policies from covering the Medicare Part B deductible. Because of this, people who are new to Medicare in 2020 won’t be able to enroll in Plan F. Those who already have Plan F, on the other hand, can keep it.

Some Medigap plans offer coverage that’s very similar to Plan F, including Plan G, Plan D, and Plan N. If you’ll be enrolling in Medicare this year, comparing different Medigap policies offered in your area can help you find the best coverage for your needs.