Medicare Plan N can help a person pay any uncovered costs of traditional Medicare. These plans are also known as Medigap plans.

A person with traditional Medicare, which comprises parts A and B, may also choose to buy Medicare Plan N.

Like all other Medigap plans, Plan N helps a person pay the uncovered costs of traditional Medicare by filling some of the gaps created by deductibles, copayments, and coinsurances.

Although Plan N does not pay the Part B deductible of $198, it does pay the Part A deductible, along with an array of other benefits.

This article will examine the coverage, costs, and other factors associated with Medicare Plan N. It will also compare Plan N with Medigap plans F and G.

We may use a few terms in this piece that can be helpful to understand when selecting the best insurance plan:

  • Deductible: This is an annual amount that a person must spend out of pocket within a certain time period before an insurer starts to fund their treatments.
  • Coinsurance: This is a percentage of a treatment cost that a person will need to self-fund. For Medicare Part B, this comes to 20%.
  • Copayment: This is a fixed dollar amount that an insured person pays when receiving certain treatments. For Medicare, this usually applies to prescription drugs.

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Medicare Plan N may help to fill some of the gaps that deductibles, copayments, and coinsurances create.

Because traditional Medicare does not cover all healthcare costs, many people choose to buy a Medigap plan to reduce their out-of-pocket expenses.

Private insurance companies offer these supplemental policies. The plans are A, B, C, D, F, G, K, L, M, and N, and these options vary in coverage.

Plan N includes the following:

  • 100% of the Part A coinsurance
  • hospital charges up to an additional year after a person uses up their Medicare benefits
  • 100% of hospice care copayments and coinsurance
  • 100% of the Part A deductible
  • the first 3 pints of blood a person may need
  • 100% of the coinsurance for care a person receives at a skilled nursing facility
  • 80% of emergency medical costs incurred in a foreign country, up to the plan limits
  • 100% of the Part B coinsurance, with two exceptions

Plan N does not provide benefits for:

  • the Part B deductible
  • Part B excess charges
  • dental, vision, and hearing costs
  • prescription drugs

It is important to point out that the Plan N details above do not apply to people living in Massachusetts, Minnesota, or Wisconsin. These states standardize Medigap policies differently.

The $144.60 monthly premium for Medicare Part B will still be applicable, in addition to the monthly Plan N premium.

Although the coverage that Plan N offers is standard, the prices can vary widely from one area of the United States to another. Costs can also vary between the companies that provide the plans.

A person will also need to pay the Part B yearly deductible, which is $198 in 2020.

People can use this tool to find the cost of Plan N premiums in their area. After a person types in a zip code, the website will show them all of the Medigap plans available and all the companies that administer them.

Factors that influence Plan N costs

The following factors can affect the premiums an insurance company sets for a Plan N policy:

  • Issue age: This means that the price depends on the age of an individual at the time they buy a plan. Although the price may increase with inflation, it will not rise as someone gets older.
  • Attained age: This indicates that the price depends on a person’s current age. As an individual gets older, the price of the plan will increase.
  • Discounts: Some companies offer discounts based on a variety of factors that may affect health, such as quitting smoking. Others reduce their rates if a person chooses to pay their premiums electronically, or if they have more than one policy.

A person considering Plan N may wonder how it compares with plans F and G.

Plan F is the most comprehensive Medigap plan, but it is no longer available to new enrollees who became eligible for Medicare before January 1, 2020.

If an individual is looking for a plan with extensive coverage, Plan G is the second most comprehensive option.

Plan N vs. Plan F

Plan N differs from Plan F in three main ways. The table below provides more details.

Plan NPlan F
Part B deductibleNot covered Fully covered
Part B excess chargesNot coveredFully covered
Part B copaymentsPartially coveredFully covered

Plan N vs. Plan G

A comparison of Plan N with Plan G shows that they differ in two main ways. The table below provides more details.

Plan NPlan G
Part B excess chargesNot coveredFully covered
Part B copaymentsPartially coveredFully covered

If a person wishes to compare all of the Medigap plans at a glance, a helpful chart is available.

Medicare Plan N is a supplement insurance plan that helps a person pay for healthcare costs that traditional Medicare does not cover.

Two of its major coverage areas include 100% of the Part A deductible and 100% of the Part B coinsurance (except for certain copayments).

Monthly costs include the Part B premium of $144.60 plus the premium of Plan N. Prices of Plan N vary by state and insurance company.

People interested in Plan N may wish to compare its coverage and cost with other Medigap plans. They can then compare the prices of the companies that offer the plan.