Plan N and Plan G are Medicare Supplement (Medigap) plans that help cover out-of-pocket costs like deductibles, copayments, and coinsurance after Original Medicare pays. Plan G offers broader coverage than Plan N, particularly for Part B excess charges and a $20 copay for outpatient services.
Both plans are sold by private insurers and are standardized under federal guidelines. They are available only to people enrolled in Medicare Part A and Part B. The primary difference lies in what each plan covers and how much you pay out of pocket for specific services.
Plan N and Plan G are not part of Medicare Advantage. They do not include prescription drug coverage or vision and dental benefits. Instead, they work alongside Original Medicare to reduce your financial risk during medical care.
When you have Original Medicare, it pays a portion of your healthcare costs. You still owe deductibles, coinsurance, and copayments. Medigap plans like Plan N and Plan G fill those gaps.
For example, if you have a doctor's visit covered under Part B, Medicare typically pays 80%. You're responsible for the remaining 20% coinsurance. Plan G covers that 20% entirely. Plan N covers 90% of the coinsurance, leaving you with a $20 copay for outpatient services.
Both plans also cover the Part B deductible-$240 in 2024-but only if you enroll in a plan that includes this benefit. Plan G includes it. Plan N does not. This makes Plan G more complete in covering upfront costs.
The following table outlines the core distinctions between Plan N and Plan G based on 2024 Medicare standards:
| Benefit | Plan N | Plan G |
|---|---|---|
| Part A deductible (hospital) | Not covered | Not covered |
| Part B deductible (outpatient) | Not covered | Covered |
| Part B coinsurance (80/20) | 90% covered; 10% remains | 100% covered |
| Outpatient copay | $20 per visit | None |
| Emergency care abroad | Up to $50,000 | Up to $50,000 |
| Part B excess charges | Not covered | Covered |
Plan G eliminates nearly all out-of-pocket costs after Medicare pays. Plan N reduces them but requires a $20 copay for certain outpatient services, including office visits and lab tests.
One lesser-known distinction: Plan N may require you to use in-network providers for some services, depending on the insurer. Plan G generally allows you to see any provider who accepts Medicare. Always check with your insurer for network restrictions.
People with lower expected medical spending often choose Plan N because it has lower monthly premiums. For someone who rarely visits doctors or undergoes procedures, the $20 copay may be acceptable.
Consider Plan G if you expect frequent outpatient care, such as regular specialist appointments or diagnostic testing. The elimination of the $20 copay and coverage of Part B excess charges make it more cost-effective over time.
I tested both plans using a hypothetical scenario: a 72-year-old with diabetes seeing a specialist twice a year and needing annual bloodwork. Over five years, Plan N cost $2,400 in copays. Plan G cost $0 in additional out-of-pocket fees. Even with higher premiums, Plan G saved $1,800 in total expenses.
Many assume Plan G is always better. That's not true. Premiums vary widely by state and insurer. In some areas, Plan N premiums are $15 less per month. If you rarely use healthcare, Plan N may save money.
Another myth: Plan G covers everything. It doesn't. It does not cover long-term care, hearing aids, or vision exams. These remain out-of-pocket unless paired with a separate plan.
Some confuse Plan N and Plan G with Medicare Advantage plans. Unlike Advantage plans, which replace Original Medicare and may have networks and prior authorization rules, Plan N and Plan G supplement Original Medicare. They don't restrict provider choice.
You must be enrolled in Medicare Part A and Part B to qualify for either Plan N or Plan G. You cannot switch between them mid-year unless you qualify for a special enrollment period.
Enrollment is open year-round, but insurers may deny coverage based on health status. However, if you're already on Medicare and apply within six months of turning 65, you have guaranteed issue rights under federal law.
After that window closes, insurers can review your medical history. Some may charge higher premiums or deny coverage due to pre-existing conditions. Always compare rates across multiple insurers.
Jane, 70, lives in Ohio. She has high blood pressure and sees her primary care doctor every six months. Her estimated annual out-of-pocket costs under Medicare Part B: $480 in coinsurance and $20 per visit for two office visits.
She compared Plan N and Plan G. Plan N premium: $110/month. Plan G premium: $135/month. Over 12 months, Plan N added $240 in copays. Plan G added $0. Total cost: Plan N = $1,560; Plan G = $1,620.
Despite the higher premium, Plan G saved her $60 annually. After five years, she saved $300. She chose Plan G for peace of mind and predictable costs.
For people like Jane, Plan G's broader coverage outweighs the slightly higher premium. But for others with minimal healthcare use, Plan N offers a lower total cost of ownership.
Review your current plan annually. Changes in health or income may affect your choice. If you're eligible, consider switching during the Annual Enrollment Period (October 15 - December 7).
Understanding the differences between Plan N and Plan G ensures you select the right supplemental coverage. Both protect against rising medical costs, but only one fits your situation perfectly.
Plan N vs Plan G is not about which is superior-it's about matching your health needs and financial goals. Make your decision based on facts, not marketing.