Medicare Supplement Plan N is one of the most popular Medicare Supplement plans sold by private insurance companies. It is a great alternative to Plan F or Plan G if a beneficiary would like to pay less in monthly premiums and still get the most comprehensive coverage there is. Enrolling in Plan N will leave beneficiaries with deductible expenses and a few copayments only, lowering medical expenses to a minimum.
Medigap Plan N coverage
Medicare Supplement Plans N beneficiaries will be covered for:
- Part A coinsurance and up to an additional 1 year of hospital costs after Medicare benefits are dried out
- Part B coinsurance/copayment
- First 3 pints of blood for a medical procedure
- Part A hospice care coinsurance/copayment
- Skilled nursing facility care coinsurance
- Part A deductible
- 80% of foreign travel exchange
Therefore, Medicare Supplement plans will not cover these benefits: Part B deductible and Part B excess charges. These costs, as well as Part A and Part B premiums, must be paid out-of-pocket.
Medicare Supplement Plan N costs
Plan N does pay for the Part A inpatient deductible, copayments, and coinsurance costs, except for a $50 copayment for visiting an emergency room. Plan N members will also have a $20 copayment for doctor office visits and they will also be responsible for the Part B deductible which is 223$. However, there are no copayments for visiting urgent centers. Unless you live in a state that does not allow Part B excess charges, you will have to pay for those pocket expenses as well which can be up to 15% of the charge for medical services at doctors who don’t accept terms of Medicare which is very rare because most doctors accept Medicare Assignment.
You are also responsible for the Medicare Supplement Plan N premium which can go up to $180 per month and the premium cost is not the same for every Medicare beneficiary. Individual premiums will vary based on which state the individual is seeking coverage in, which carrier they’re purchasing from, and also individual factors like gender, age, tobacco use, and a few other details. The average monthly premium for Supplement Plan N ranges from $120-$180. In general, Medigap premiums are higher in states who have a higher cost of living.
Enrollment
Medicare beneficiaries can enroll in Medigap plan N, as well as in any Medigap policy, as long as they have already enrolled in Original Medicare – Parts A and B. The best time to enroll is during your Medigap Open enrollment period, which begins on your Part B effective date. Beneficiaries will have six months from that day to enroll in a plan with guaranteed issue rights. After that time frame expires, enrollment could be declined based on an individual’s pre-existing health conditions.
Plan F vs. Plan N
Medigap Plan F offers the most comprehensive coverage for Medicare beneficiaries as it covers 100% of the out-of-pocket costs. The only thing Plan F beneficiaries pay for is the plan’s monthly premium. Plan N does not offer quite as much coverage, meaning that you will stay with higher pocket costs, but the premiums may be significantly less. However, not everyone is eligible for Plan F because it is suspended on January 1, 2020, for new beneficiaries. Those who were eligible for Medicare before that date still can enroll in Plan F, but those who become eligible after January 1, 2020, cannot choose that plan, so Plan N is the next best Medicare supplement insurance plan option.