Medicare Plan G vs Plan N: Which One is Best For You?

Choosing between Medicare Plan G and Plan N is one of the most common decisions new Medicare beneficiaries face — and for good reason. Both plans offer excellent coverage and the freedom to see any doctor who accepts Medicare, but they differ in important ways that can significantly impact your out-of-pocket costs.

How Plan G and Plan N Coverage Compare

Both Medicare Plan G and Plan N are standardized Medicare supplement plans that work alongside Original Medicare. This means you get the same coverage benefits regardless of which insurance company you choose — the only differences are price and customer service.

Here’s what both plans cover identically:

• 100% of Medicare Part A deductible ($1,736)
• 100% of Part A coinsurance and copayments
• Skilled nursing facility coinsurance
• All Medicare-approved surgeries (inpatient and outpatient)
• Hospital stays and related services
• Chemotherapy and cancer treatments approved by Medicare
• Coverage for the first three pints of blood
• 80% of foreign travel emergency care (up to plan limits)

Both plans also give you complete freedom to visit any doctor or specialist who accepts Medicare anywhere in the United States. No referrals required, no network restrictions to worry about.

The Key Differences: Doctor Visit Costs

The main difference between these plans comes down to what you pay when you visit the doctor:

Plan G Coverage:

• No copayments for doctor visits
• Does not cover the annual Part B deductible ($283)
• Covers Part B excess charges (the rare 15% extra fee some doctors charge)

Plan N Coverage:

• Up to $20 copayment per doctor visit
• $50 copayment for emergency room visits (waived if you’re admitted to the hospital)
• Does not cover the annual Part B deductible ($283)
• Does not cover Part B excess charges

Agent Tip

Don’t worry too much about Part B excess charges with Plan N. Over 95% of Medicare doctors accept Medicare assignment, which means they can’t charge these extra fees. In my years of working with clients, I’ve rarely seen anyone actually hit with excess charges.

The Part B excess charge issue often concerns people considering Plan N, but it’s largely a non-issue in practice. The vast majority of Medicare providers accept assignment, and those that don’t usually make it clear upfront.

Premium Cost Differences

Plan N typically costs 15-25% less in monthly premiums compared to Plan G. The exact difference varies by your location, age, gender, and which insurance company you choose.

For example, a 65-year-old woman in Houston, Texas might see these approximate monthly premiums:

• Plan G: Around $135/month ($1,620 annually)
• Plan N: Around $103/month ($1,236 annually)
• Annual premium difference: $384

These numbers will vary significantly based on your specific location and the insurance companies available in your area. Different Medicare supplement companies can have dramatically different rates for the same coverage.

The Break-Even Analysis: Which Plan Saves You More?

To determine which plan makes more financial sense for your situation, you need to calculate your break-even point. Here’s how:

Take the annual premium difference between the two plans and divide it by Plan N’s maximum office visit copayment ($20). Using our Houston example: $384 ÷ $20 = 19.2 doctor visits per year.

This means if you visit the doctor 19 or fewer times per year, Plan N would save you money. If you visit 20 or more times annually, Plan G becomes the better financial choice.

Remember to factor in the emergency room copayment as well. If you typically have one ER visit per year that doesn’t result in admission, that’s an additional $50, which equals 2.5 doctor visits worth of copayments.

Who Should Choose Plan G?

Plan G makes sense if you:

• Visit doctors frequently (15+ times per year)
• Have chronic health conditions requiring regular specialist visits
• Prefer predictable healthcare costs with no surprises
• Want the most comprehensive coverage available
• Don’t mind paying higher premiums for peace of mind

Plan G is often the better choice for people managing multiple health conditions or those who simply want to eliminate as many out-of-pocket costs as possible.

Agent Tip

Many of my clients choose Plan G because they value predictability. After paying their monthly premium and the annual Part B deductible, they know exactly what their healthcare will cost for the year. There’s real value in that peace of mind.

Who Should Choose Plan N?

Plan N makes sense if you:

• Are generally healthy with infrequent doctor visits
• Want to save on monthly premiums
• Don’t mind small copayments when you do visit the doctor
• Are comfortable with slightly less predictable costs
• Typically see the doctor fewer than 15 times per year

Plan N can be an excellent choice for healthy retirees who want substantial coverage while keeping their monthly expenses lower.

Timing Considerations

Your Medicare supplement enrollment timing is crucial. During your six-month Medicare supplement open enrollment period (starting when you turn 65 and enroll in Medicare Part B), you can choose either plan without medical underwriting.

After this initial enrollment period, switching between plans typically requires medical underwriting, which means insurance companies can deny coverage or charge higher rates based on your health status.

In some states like California, special rules like the Birthday Rule provide additional opportunities to switch plans without medical underwriting.

Rate Increases and Long-Term Costs

Both Plan G and Plan N premiums will increase over time. Medicare supplement rate increases are a normal part of owning these plans, typically ranging from 3-8% annually.

The key is choosing an insurance company with a history of reasonable rate increases and good customer service. A company with slightly higher initial premiums but more stable long-term rate increases often saves you money over time.

Making Your Decision

Consider these factors when choosing between Plan G and Plan N:

Factor	Plan G Better If…	Plan N Better If…
Doctor visits per year	15+ visits annually	Fewer than 15 visits
Health status	Chronic conditions	Generally healthy
Budget priority	Comprehensive coverage	Lower monthly premium
Cost predictability	Want fixed annual costs	Comfortable with small copays

Remember, both plans offer excellent coverage and the freedom to see any Medicare doctor nationwide. Your choice comes down to balancing monthly premium costs against potential out-of-pocket expenses based on your expected healthcare usage.

Frequently Asked Questions

Can I switch from Plan N to Plan G later?

After your initial enrollment period, switching typically requires medical underwriting unless you qualify for a guaranteed issue right or live in a state with special protections. Some states like California, Nevada, and Oklahoma have birthday rules that allow annual plan changes without underwriting.

Do Plan G and Plan N cover prescription drugs?

No, neither plan includes prescription drug coverage. You’ll need to enroll in a separate Medicare Part D plan for prescription coverage, unless you have creditable coverage from another source like employer insurance or VA benefits.

What if my doctor doesn’t accept Medicare assignment with Plan N?

If your doctor doesn’t accept Medicare assignment, you could be responsible for Part B excess charges up to 15% above the Medicare-approved amount. However, this is rare — over 95% of Medicare providers accept assignment. You can verify if a doctor accepts assignment on the Medicare.gov provider directory.

Are there any other significant differences between Plan G and Plan N?

The main differences are the doctor visit copayments and excess charge coverage. Both plans have identical hospital coverage, skilled nursing coverage, and foreign travel benefits. Neither covers the annual Part B deductible.

Which plan is more popular?

Plan G is currently the most popular Medicare supplement plan, largely because Plan F (which was more comprehensive) is no longer available to new Medicare beneficiaries. Plan N has been growing in popularity as people look for ways to reduce their monthly premiums while maintaining good coverage.