# Medicare Supplement Rates: How to Save Money on Medigap
Medicare Supplement insurance, commonly called Medigap, fills the gaps left by Original Medicare. These policies cover copayments, coinsurance, and deductibles that Medicare Part A and Part B do not. Premiums for identical Medigap plans vary dramatically between insurance carriers, sometimes by hundreds of dollars annually. Switching to a cheaper provider can deliver real savings without sacrificing coverage.
The ten standardized Medigap plans (A, B, C, D, F, G, K, L, M, N) work the same way across all insurers. Plan G from Anthem costs far less than Plan G from AARP or Cigna in many markets, even though the coverage is identical. This pricing variation exists because each insurer sets its own rates based on claims experience, administrative costs, and competitive strategy. A 65-year-old in Florida might pay $120 monthly for Plan G with one carrier and $185 with another.
Shopping for better rates takes minimal effort. You can compare quotes on Medicare.gov, through private brokers, or directly from insurers. The process takes 15 to 30 minutes. Unlike Original Medicare enrollment, Medigap applications require no waiting periods once approved. You can switch plans immediately upon enrollment.
The timing trap requires careful attention. Open enrollment rules affect how insurers underwrite your application. If you buy Medigap within six months of enrolling in Medicare Part B, insurers cannot deny coverage or charge more based on health conditions. This guaranteed issue period is your safest window. Outside this window, insurers can perform medical underwriting and deny coverage, impose waiting periods, or add exclusions for pre-existing conditions.
For those already in a Medigap plan, switching becomes harder after the guaranteed issue period ends. Insurers may decline your application if you have diabetes, heart disease, or other pre-existing conditions. Some states have protections that allow switching under specific circumstances, such as moving to a new state or losing employer coverage, but these vary widely.
The strategy differs by situation. If you recently turned 65 and enrolled in Medicare, now is the time to shop aggressively. Lock in the lowest rates while you have guaranteed issue protection. If you have held a Medigap plan for years and rates have climbed, switching may still work if you have excellent health. Ask insurers directly whether they will approve your application before submitting it formally. Some carriers are more lenient with medical underwriting than others.
Carrier loyalty costs money. AARP Medigap plans serve millions of retirees but often charge premium rates. Checking quotes from regional carriers like Medicare.gov-listed providers frequently reveals cheaper options. Some carriers offer multi-policy discounts if you bundle auto or home insurance with Medigap.
Monthly Medigap premiums typically range from $80 to $300 depending on your age, location, plan type, and carrier. Switching from an expensive carrier to a competitive one can save $1,200 to $3,600 annually on premiums alone. That money stays in your retirement account rather than flowing to an insurer charging above-market rates.
The key is acting within the guaranteed issue window if possible. If that window has closed, obtain quotes and confirm approval odds before committing to a switch. Shopping takes minimal time and delivers substantial savings for most retirees.