Medicare Supplement plans (also known as Medigap) cover the “gaps” in your healthcare coverage by covering things Original Medicare (Part A and Part B) doesn’t, like premiums, deductibles, and copays. If you have a chronic illness or have frequent doctor visits, a Medigap policy can help you save on out-of-pocket Medicare costs.
How Medigap providers are rated
Unlike Medicare Advantage plans, which are rated on a 5-star system, companies that offer Medigap coverage are rated with letters, like A, A-, and B+. A.M. Best is a U.S.-based credit rating agency focused on the insurance industry. Each insurance company that sells Medigap policies receives a rating from A.M. Best to help consumers see the quality of their policy provider before they commit.
Top 10 Medicare Supplement Companies of 2019
- Aetna. One of the oldest insurance providers, Aetna has been providing Medicare enrollees with Medigap coverage for more than a decade. Policyholder can easily track all of their healthcare information on Aetna’s patient portal. A.M. Best rating: A.
- Cigna. Cigna has been around since 1982 and is a top choice for consumers year after year. They offer competitive monthly premiums and boast top-notch customer service. A.M. Best rating: A.
- Mutual of Omaha. Mutual of Omaha has a team of expert customer service representatives who understand the complex Medicare system extremely well. On their patient portal, you can pay your bills, change billing options, and view your explanations of benefits. A.M. Best rating: A+.
- Manhattan Life. This Medigap provider offers a 7 percent household discount to policyholders who live with a spouse or roommate. They also provide strong dental, vision, and hearing benefits. A.M. Best rating: B+.
- Banker’s Fidelity. Banker’s Fidelity has more than 60 years of experience of providing seniors with health insurance coverage. Unlike other Medigap providers, they offer guaranteed renewable coverage to their policyholders. A.M. Best rating: A-.
- Blue Cross Blue Shield. This provider was established in 1929 and is still one of the leading health insurance carriers. In fact, nearly 1 in every 3 Americans are covered by this provider. They offer seven different Medigap plans and have an A.M. Best rating of A-.
- Transamerica. Established in the early 1900s, Transamerica is now one of the country’s top life insurers. Insure.com awarded Transamerica the “People’s Choice” award for their outstanding customer service. A.M. Best rating: A+.
- Anthem. This is a popular choice for policyholders who have it available in their state. It’s part of the Blue Cross Blue Shield family, but Anthem Medigap policies are sold separately. They also offer the popular fitness program SilverSneakers to policyholders. A.M. Best rating: A.
- United Healthcare. United Healthcare is owned by AARP and is one of the most widely known Medicare providers. Many employers offer healthcare coverage through United Healthcare, and the familiarity encourages seniors to return to their coverage when they buy a Medigap policy. Like Anthem, they also offer SilverSneakers coverage. A.M. Best rating: A.
- Combined. Although this provider may not be as well-known as others on the list, this company has been around since 1922 and supports over 5 million Medicare enrollees with Medigap policies. A.M. Best rating: A-.
Additional information about Medigap
The most popular Medigap policies are Plans F, G, N, C, and high deductible F. Plan F may not be sold after 2020; however, those who are already enrolled in Plan F may keep their coverage indefinitely.
The only difference between Plan F and Plan G is that Plan F covers the Part B deductible, which is $185 for 2019. But weigh your options before enrolling in this plan. The increased premium of Plan F will likely end up costing you more throughout the year than the one-time payment of the Part B deductible.