The Best Medicare Supplement (Medigap) Plans in Vermont

If you have recently become eligible for Medicare, you may have many questions about the coverage offered by this federal insurance program and about supplementary insurance plans that can reduce your out-of-pocket expenses. Medicare Part A and Part B coverage is known more commonly as Original Medicare and covers many of the costs of medical treatment for participants.

For the costs not covered by Medicare, Medigap or Medicare Supplement Insurance plans are available for purchase in the state of Vermont. After Medicare pays for a portion of the cost of your medical treatment, Medigap plans pay additional amounts to reduce your out-of-pocket expenses.

Nearly half (42%) of Original Medicare beneficiaries in Vermont are enrolled in a Medicare Supplement plan.¹ If you are considering the benefits of purchasing a Medicare Supplement Insurance plan, this guide will provide you with the information to help you make a decision.

What Are the Best Vermont Medicare Supplement Plans?

As with most other states in the union, Vermont offers 10 standardized Medicare Supplement Insurance plans designated by a letter. Two of these, however, are also available in high-deductible versions, which brings the total number of options up to 12. Not all of these plans are available to all Medicare recipients, however. Both Plan C and Plan F were discontinued as part of the 2015 Medicare Access and CHIP Reauthorization Act but are still available as an option for those who first became eligible for Medicare before January 1, 2020.

All Medigap plans that share a letter designation are identical in the coverage they provide. This lets you choose the lowest-cost plan of a specific type with greater confidence. Additionally, all Medigap plans available in Vermont offer some coverage in common:

• An added 365 days worth of hospitalization coverage beyond what Original Medicare already offers
• Part A and Part B coinsurance and copay coverage
• Coverage for up to three pints of blood transfusions

Depending on the plan you choose, you may also be able to get coverage for foreign travel emergencies, Medicare Part B excess charges and deductibles, Medicare Part A deductibles and coinsurance for care in a skilled nursing facility.

Plans F, G and N enjoy widespread popularity among Medicare recipients in Vermont and across the United States. The high-deductible versions of Plans F and G let you enjoy lower premiums, which can make a big difference in your monthly expenses. The lower costs associated with these plans, however, come with much higher deductibles that you must pay before your plan will kick in to cover your costs.

Plan N is popular primarily because it offers much lower copays for routine doctor visits and care in the emergency room. This, along with its more affordable premiums, could make Medigap Plan N a financially sound choice for you.

How Do I Enroll in a Vermont Medigap Plan?

Enrollment in Medigap coverage is made easy for you during the first six months of eligibility. This six-month open enrollment period begins on the first day of the month in which you will turn 65. During this time, you cannot be turned down for any Medigap plan available in the state of Vermont. You will also be able to buy Medicare Supplement Insurance plans at the prices insurers offer to the healthiest people they insure. This will prevent pre-existing conditions from impacting your ability to obtain the Medigap coverage you need to defray financial expenses associated with your medical care.

After the six-month time period is up, however, insurance companies can once again use their own underwriting standards to determine if they will offer you Medigap coverage and set the premium rates you will pay. Delaying could cost you much more in premium payments and could reduce your ability to obtain the Medicare Supplement Insurance plan you want.

Your insurer may require a waiting period of six months or less before providing coverage for any pre-existing conditions you may have. This requirement may be waived if you have had insurance that covered those conditions for the past six months either through your employer or through a private or group insurance plan.

You may be eligible for guaranteed issue rights if you have lost Medigap coverage through no fault of your own. This sometimes occurs when the company you chose for your coverage goes bankrupt or is financially insolvent. Guaranteed issue rights may also be available to you if you decided to go with Medicare Advantage rather than Medigap and now regret this decision. Guaranteed issue rights will allow you to obtain Medicare Supplement Insurance on the same advantageous terms as the six-month initial eligibility period.