Best Medicare Supplement (Medigap) Companies

The Bottom Line

UnitedHealthcare is the best option for most people seeking a Medigap plan. It’s worth getting an AARP membership to access UnitedHealthcare’s excellent prices, high third-party ratings, and plentiful benefits. However, if you’re looking for a broader selection of plan types, including high-deductible Plan G, Blue Cross Blue Shield may be better, depending on its availability in your state. The company also offers an extensive discount program to most members.

Mutual of Omaha is a good alternative if Blue Cross Blue Shield isn't available in your state, especially if you want affordable dental coverage. State Farm is the way to go if you want the provider with the highest financial strength ratings.

Why You Should Trust Our Expert Insurance Reviewers

Investopedia collected data points related to dozens of important criteria for choosing Medigap plans, across eight companies. We used this data to review each company for financial stability, patient satisfaction, coverage options, cost, and other features to provide unbiased, comprehensive reviews to help you make the right decision.

Investopedia launched in 1999, and has been helping readers find the best Medigap companies since 2020. We are dedicated to helping you find the right Medigap provider for your needs.

Compare the Best Medicare Supplement (Medigap) Companies

What Is Medicare Supplement Insurance (Medigap)?

Medicare Supplement Insurance, also known as Medigap, is a type of health insurance policy offered by private companies to help pay for out-of-pocket costs in Original Medicare coverage. These costs include copayments, coinsurance, and deductibles. Medigap plans can also cover services that Original Medicare doesn't, like emergency medical care when traveling outside the U.S. To be eligible for a Medigap policy, you must have Medicare Part A and Part B.

Medigap plans are identified by letter (A–D, F, G, K–N). Each letter plan offers a different set of benefits, and the benefits of each plan with the same letter are standardized. For example, Plan G from one company provides the same benefits as Plan G from another company. However, premiums can vary across insurers and locations.

What Does Medigap Cover?

In addition to copayments, coinsurance, and deductibles from Original Medicare, some Medigap plans help cover:

• Skilled nursing facility care
• Foreign travel emergency health care
• Medicare Part B excess charges

What Does Medigap Not Cover?

Medigap policies do not cover:

• Long-term care
• Vision or dental care
• Hearing aids
• Eyeglasses
• Private duty nursing

Medigap plans are standardized, but premiums can vary. Choosing the right plan requires comparing coverage details and prices from different insurers.

What Are the Alternatives to Medigap?

You might want an alternative to Medigap for your health coverage for several reasons, including cost and complexity. Medicare Advantage plans are a popular choice, with 30.8 million enrollees in 2023. These plans, sold by private companies, include drug, dental, and vision coverage. They can have lower premiums but may have higher out-of-pocket costs.

Medicaid is another option for those who qualify. It can cover costs not usually covered by Medicare, like nursing home care and personal care services.

Is Medigap Available in Every State?

Medigap plans are available in every state, but the offerings may vary in different places. Most states have standardized Medigap plans identified by letters A through N, but Massachusetts, Minnesota, and Wisconsin have different sets of standardized plans. Different state regulations may also influence Medigap prices and plan offerings. For example, Connecticut, Massachusetts, Maine, and New York have guaranteed-issue protections prohibiting insurers from denying applicants coverage based on pre-existing conditions.

What Is the Downside to Medigap Plans?

How We Chose the Best Medicare Supplement Plan Providers

To identify which health insurance companies to review, we analyzed business and market insight databases, including Statista, Plunkett, and Gale. We also considered user-generated data from Google to determine public interest and trends in Medicare plans.

We collected data from third-party rating agencies like the credit rating agency AM Best and the National Committee for Quality Assurance (NCQA), an independent organization that rates health insurance plans on quality and customer satisfaction. We also gathered data from government websites and databases provided by the Centers for Medicare and Medicaid Services (CMS), such as CMS.gov and Healthcare.gov, and from insurers via websites, media contacts, and existing partnerships. The data collection process spanned Sept. 15 to Sept. 29, 2023.

We then developed a quantitative model that scores each Medicare Supplement plan provider based on four major categories and six criteria that are crucial in evaluating the company's offerings and benefits.

We weighted the four categories as follows for this article:

• Cost: 40%
• Plan features: 30%
• Plan quality and customer satisfaction: 20%
• Company financial strength: 10%
  

Read our full methodology for reviewing Medicare insurance providers.

Your Guide to Medicare Plans

• What Is Medicare? How It Works, Who Qualifies, and How to Enroll
• Do You Need All 4 Medicare Parts?
• Medigap: What It Means, How It Works, History
• Who Needs Medigap Insurance?
• Medicare Advantage vs. Medigap