If you’re one of the roughly 14.1 million Americans enrolled in a Medicare Supplement (Medigap) plan, you’ve probably noticed something unsettling in your mailbox lately: premium increase notices. The average Medigap rate jumped by 10.6% in 2025, and many carriers are continuing that trend into 2026. With premiums climbing and Original Medicare out-of-pocket costs reaching new highs — like the 2026 Part A deductible of $1,736 per hospital stay — it’s more important than ever to make sure you’re in the right plan.
Today, we’re breaking down the three most popular Medigap options: Plan G, Plan N, and High-Deductible Plan G (HDG). While Plan G has become the market leader (holding 39% of standardized Medigap enrollment) and Plan N captures about 10%, there’s a third option that many insurance agents won’t even mention — High-Deductible Plan G. Why? Because lower premiums mean lower commissions. But for the right person, HDG can deliver substantial savings without sacrificing coverage.
Let’s look at how these three plans stack up, what they actually cost in real-world scenarios, and which one might be the best fit for your health and budget in 2026.
Before we dive into the differences, let’s establish the basics. Medicare Supplement Insurance — commonly called Medigap — works alongside your Original Medicare (Parts A and B) to help cover the gaps: deductibles, coinsurance, and copayments that Medicare doesn’t pay.
Medigap plans are standardized by letter. That means Plan G from Carrier A offers the exact same benefits as Plan G from Carrier B. The only differences? Price, customer service, and company reputation. This standardization makes comparison shopping much easier — but it also means you need to understand what each plan letter actually covers.
If you’re new to Medicare or want a refresher on how the whole system works, check out our Medicare 101 guide for a comprehensive overview.
To understand why Medigap matters, you need to see what Original Medicare alone would cost you in 2026:
Part A hospital deductible: $1,736 per benefit period
Skilled nursing facility coinsurance: $217 per day for days 21–100
Part B monthly premium: $202.90 (standard; higher earners pay more)
Part B annual deductible: $283
Part B coinsurance: Typically 20% of the Medicare-approved amount — with no annual cap
Unlike many employer health plans or Medicare Advantage plans, Original Medicare has no out-of-pocket maximum. A serious illness or multiple hospital stays could leave you with five-figure bills. That’s exactly what Medigap is designed to prevent.
Plan G has quickly become the most popular Medigap choice since Plan F was closed to new beneficiaries in 2020. It offers near-complete coverage of Medicare cost-sharing, with just one exception: you pay the Part B deductible ($283 in 2026) yourself each year.
Plan G makes sense if you want maximum predictability and “set-it-and-forget-it” coverage. Once you’ve paid your Part B deductible for the year (just $283), you can visit any doctor or hospital that accepts Medicare nationwide without worrying about copays, coinsurance, or unexpected bills.
For people with chronic conditions, frequent medical needs, or anyone who simply values peace of mind, Plan G delivers comprehensive protection.
Plan N offers nearly the same coverage as Plan G but trades slightly lower benefits for noticeably lower premiums. If you’re healthy, cost-conscious, and your doctors accept Medicare assignment, Plan N can be a smart choice.
Plan N covers everything Plan G does, with three key exceptions:
This is where many people get nervous about Plan N, but here’s the reality: 99.7% of Medicare physician and supplier claims were accepted on assignment in 2023. That means the vast majority of doctors accept Medicare’s approved amount as full payment.
When a doctor doesn’t accept assignment, they can charge up to 15% more than Medicare’s approved amount (called the “limiting charge”). Plan G covers these excess charges; Plan N doesn’t. But here’s what you need to know:
Plan N is ideal if you’re relatively healthy, your primary doctors accept Medicare assignment, and you’re comfortable with predictable, modest copays in exchange for lower monthly premiums. The premium difference between Plan G and Plan N often ranges from $30–$70 per month depending on your age, location, and carrier — that’s $360–$840 annually.
If you only visit the doctor a handful of times per year, Plan N’s copays will likely cost far less than the premium savings.
Here’s where we need to have an honest conversation about how Medicare insurance is sold. Many agents focus exclusively on standard Plan G or Plan N because those plans have higher premiums — and agent commissions are typically calculated as a percentage of the premium. Lower premiums on High-Deductible Plan G mean lower commission checks, so some agents simply don’t mention it.
We think that’s a disservice to consumers. For the right person, HDG can be an excellent choice that saves substantial money while maintaining the same comprehensive coverage as standard Plan G.
HDG provides the exact same benefits as standard Plan G — but only after you first pay an annual deductible of $2,950 in 2026. That means you’re responsible for all Medicare-covered cost-sharing (Part A and B deductibles, coinsurance, copays, etc.) until you’ve spent $2,950 out of pocket. After that, the plan covers everything just like standard Plan G for the rest of the calendar year.
The trade-off? HDG premiums are dramatically lower than standard Plan G — often $100–$200 per month less, depending on your age and location. That’s $1,200–$2,400 in annual premium savings.
Let’s run a hypothetical scenario for a 70-year-old in a typical market:
Plan G premium: $200/month ($2,400/year)
HDG premium: $50/month ($600/year)
Premium savings with HDG: $1,800/year
You have a few doctor visits and one outpatient procedure. Your total Medicare cost-sharing for the year is $800.
HDG saves you $1,283.
You have a minor surgical procedure and several specialist visits. Your total cost-sharing reaches $2,000.
HDG still saves you $83.
You meet the full $2,950 deductible due to a hospital stay or major procedure.
Plan G saves you $867.
The breakeven point in this example is around $2,100 in annual cost-sharing. If your healthcare needs typically fall below that, HDG likely saves you money. If you consistently have high medical expenses, standard Plan G provides better financial protection.
HDG is probably not right if you have multiple chronic conditions, take numerous medications requiring frequent monitoring, or would struggle to pay an unexpected $2,950 in a single year.
| Benefit | Plan G | Plan N | High-Deductible G |
|---|---|---|---|
| Part B deductible ($283) | You pay | You pay | You pay (counts toward deductible) |
| Part A deductible ($1,736) | Covered | Covered | You pay (counts toward deductible) |
| Part A & B coinsurance | Covered | Covered | You pay until $2,950 met, then covered |
| Office visit copays | None | Up to $20 | You pay until deductible met |
| ER copays | None | Up to $50 (waived if admitted) | You pay until deductible met |
| Part B excess charges | Covered | NOT covered | Covered (after deductible) |
| Typical monthly premium* | $$$ (Highest) | $$ (Middle) | $ (Lowest) |
*Premiums vary significantly by age, location, carrier, and rating method. Always compare quotes from multiple insurers.
The “best” Medigap plan isn’t the same for everyone. Here’s a decision framework to guide your choice:
Already enrolled in a Medigap plan but think one of these alternatives might work better? The rules around switching can be tricky.
During your six-month Medigap Open Enrollment Period (starting the month you turn 65 and enroll in Part B), you have guaranteed-issue rights — carriers can’t deny you coverage or charge more based on health conditions.
After that window closes, switching plans typically requires medical underwriting in most states. However, several states now offer “birthday rule” or similar guaranteed-issue periods that let you change plans annually without underwriting.
New for 2026: Minnesota is adding new guaranteed-issue protections starting August 1, 2026.
Check with your State Health Insurance Assistance Program (SHIP) to understand your state’s specific rules and any special switching windows available to you. You can also explore more about your Medigap options on our Medicare Supplement Plans page.
The Medicare supplement plan comparison between Plan G, Plan N, and High-Deductible Plan G ultimately comes down to your individual health status, financial situation, and personal preferences around risk and predictability.
Plan G offers the most comprehensive coverage with the highest premiums. Plan N balances solid coverage with lower costs through modest copays. And High-Deductible Plan G — the option you might not hear about from commission-focused agents — can deliver significant savings for the right person willing to self-insure up to $2,950 annually.
All three are solid choices. The key is matching the plan structure to your needs rather than defaulting to what’s most commonly sold.
Our team presents all options — including High-Deductible Plan G — so you can make the most informed decision. Free, no-pressure consultation.
Schedule a Free Consultation →Navigating Medicare choices can feel overwhelming, but you don’t have to figure it out alone. Our team specializes in helping people find the right coverage for their unique situation — including those often-overlooked options like HDG that can deliver real value.
Get help enrolling in Medicare or contact us today for personalized guidance. We’ll walk you through your options, run side-by-side comparisons, and help you make a confident, informed decision about your Medicare supplement coverage.
Because when it comes to your healthcare and financial security, you deserve advice that puts your interests first — not an agent’s commission check.
Call or text us for a free, no-obligation consultation. We’ll review your options and find the best plan for your needs and budget.