Medicare-Eligible Health Insurance Article

Medigap Cost: Finding the Right Price for Medicare Supplemental Insurance

What does Medigap cost? Figuring this out requires a little education, and some old-fashioned research. Below you will find a breakdown of how all Medigap plans are priced, and how to find the best price where you live.

Medigap Cost Basics

The first thing to understand about Medigap plans, also called Medicare supplemental insurance plans, is that the benefits for every plan are standardized. This means that the benefits for Medigap Plan A offered by one insurance company will be the same as the benefits for Plan A offered by any other insurance company. 

Once you know which plan has the right benefits for your needs, you simply need to find the insurance company that offers the best price. But there are a few things to keep in mind about how the prices for Medigap plans are set.

How Medigap Plans are Priced

While the benefits of all Medigap plans are standardized, the costs are not. Insurance companies are free to set the price for premiums for their plans however they see fit. They can also determine if the costs will rise as you get older. There are three ways that insurance companies rate their plans that determine how the costs rise over time:

  • Community-Rated (also called No-Age-Rated): Everyone in the community with the same Medigap plan pays the same monthly premium, regardless of age.

  • Issue-Age-Rated: The monthly premium is based on your age when you buy the plan. Premiums are more for older purchasers.

  • Attained-Age-Rated: The initial premium is based on your age when you purchase the plan, AND, the premium goes up as you age.

According to our experience here at Medicoverage, the majority of plans are Attained Age. Some Community-rated almost offer a “discount” to younger members that goes away as you get older. To learn more or get a quote check outSenior65 Medigap Plan

Other Factors Affecting Medigap Costs

Medical Underwriting: This refers to the practice of insurance companies using your medical history to determine the cost of your plan, or in some cases, deny offering you coverage. 

High-Deductible plans: Insurance companies in your area may offer high deductible options for Plans F and G. This means your monthly premiums will be lower, but you’ll have to pay more for medical services before your Medigap coverage kicks-in.

Medicare Select: This is a type of Medigap plan with lower costs, but that requires policy-holders to use a pre-defined network of hospitals, and sometimes doctors. Medicare Select plans are not available in all states.

Now that you know the factors affecting Medigap costs, the next step is to see what plans insurance companies are offering in your area. Get a quote to compare Medigap plans now.

Comments and Questions

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  • Comment from Kathy on August 27, 2014

    I live in PA and have found it very difficult to find issue-age rated supplemental plans.  A number of insurance providers have told me they can only sell attained age insurance as mandated by the state.  How can I find out if this is true?


    Thank you for your question. The reality is that most companies only offer age attained plan or community-rated plans (with age discounts). Call us at 800-930-7956 so one of our agents can help you to see if there are any in your area.
    -Eric from

  • Comment from S Costello on October 01, 2013

    I have medicare a and b but akso need medigap with prescriptions drug plan. I need the costs

    Thank you so much for your request. You can get a Medigap quote at or give us a call 800-930-7956 to make sure you get the right plan for you. We can also assist you with Medicare Plan D Prescription Drug Pricing.
    Eric at

  • Comment from Brian Kunert on July 24, 2013

    Im 43 basically was forced onto disability and I will be getting basic medicare next week. I need more than 1 surgery, will need MRIS, cat scans, etc. but because I can’t afford a medigap policy I’m basically screwed because lets face it a 80/20 plan when you need the care I need will cost a lot out of pocket which I don’t have. On disability you barely make enough for food and housing. Like Ashley referred to..  I have worked all these years and they have taken my money and they still expect me to have thousands of dollars for care, and pay $400 a month for a medigap policy . Am I missing something Katie???????? 


    Dear Brian,
    Thank you for writing to us. You are in a tough situation. Please give us a call at 800-930-7956, we would like to work with you to see if we beat that price.
    -Chris at

  • Comment from Ashley Winters on July 04, 2011

    The right cost is free. We shouldn’t have to pay for health coverage when we turn 65. That’s why I have been giving the gov all my money over these years.

  • Comment from Happy on July 04, 2011

    I cannot find how to locate a community rated medigap plan. Any thoughts?

  • Comment from Pam Lee on June 12, 2011

    Referencing “Tip” - believe the author meant to say “...and try to find a plan that is Community-Rated or ISSUE-AGE RATED (not attained-age-rated” - correct?  Other articles on this site recommend “community and issue-age” and not “attained”.  Makes more sense to me anyway.

  • Comment from Dan Fredreickson on June 30, 2010

    Steve: A lot of websites that offer quotes will also indicate the rating, usually in non-descript plain text, but it’s there. Got to read the fine print! ;)

  • Comment from Steve Stevens on June 25, 2010

    thanks for the article. While I understand Medigap I never understood how it was priced. Now I know that there are three diffent ways to price this plan. I guess my next question would be…How can I search for community rated pricing vs. Issue age?

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