Understanding Medicare Supplement Plan F: Benefits & Availability

Original Medicare Parts A and B, Hospital and Medical Insurance, provide extensive coverage. However there are coverage gaps such as the hospital admission deductible--$1,100 in 2010. Medicare beneficiaries may choose one of 10 Medicare supplements--Medigap policies--to fill the coverage gaps.

Plan F Availability

• Companies do not have to offer all plans. However, if the company offers at least two of the 10 plans, it must also offer either plan C or F. Beneficiaries pay the premiums, which for Plan F can vary from $20 to $67 monthly, depending on the insurance company.

Plan F Coverage

• The Centers for Medicaid and Medicare regulate the coverage that Medigap plans must offer. Plan F is the "high deductible" plan. It does not pay any Medicare-covered services until the beneficiary has paid $2,000 out of pocket. After meeting the high deductible, the plan covers 100 percent of Medicare Parts A and B deductibles, coinsurances, and co-pays, including coinsurance for hospice care and preventative services.

Plan Comparisons

• Plan F is one of only two plans that also cover the Part B deductible--$155 annually in 2010. It is the only plan that covers Part B excess charges, which accrue if a doctor may legally charge more than Medicare considers the reasonable charge for a service. Other plans pay according to what Medicare allows. Plan F also pays the excess amount above what Medicare allows as reasonable.