Medicare Supplement vs. Medicare Advantage

Are you new to Medicare and trying to figure out the costs? If you have done some research, you probably already know that Medicare covers 80% of covered services, and you are responsible for 20%. Twenty percent does not sound like much, but depending on what you find yourself needing, it could be more than you think. It is important to note than you cannot have a Medicare Supplement and a Medicare Advantage plan. You will have to choose or the other. They are quite different, so it is important to make sure which is right for you before enrolling.

Medicare Supplement

You may hear the word Medigap from time to time. Medigap means to fill in the “gaps” of coverage, meaning the 20% you are responsible for. The terms “Medigap” and “Medicare Supplement” are referring to the same thing. Medicare Supplement plans will work with your Original Medicare, Parts A and B. You do not have networks. As long as your doctor accepts Medicare, they will also accept your Medicare Supplement plan. These plans do have many different options, such as a Plan G, F, K, L, and M - just to name a few. These plans are standardized, for instance, no matter which company you decide to receive a Medicare Supplement Plan G through, you will have the same coverage. If you choose the Medicare Supplement route, you will need to obtain a stand-alone Prescription Drug Plan. Even if you are not prescribed any medications, looking into a Prescription Drug Plan is advised to avoid a late-enrollment penalty.

If you are wondering more about obtaining a Medicare Supplement policy, understand that these are sold by private health insurance companies. Since these plans are standardized, as mentioned before, then it is important to note that if you choose to consider a Medicare Supplement plan with one company, then you will have one rate presented to you. Let us know what you may be interested in! We are contracted with several companies and can see which one offers the most cost-effective rate for you.  

Medicare Advantage

If you watch much television, you may notice commercials for Medicare beneficiaries specifically. They are advertising for an option that has many additional benefits, and the costs seem quite low. These advertisements are for Medicare Advantage plans. A Medicare Advantage plan will act as an alternative for Original Medicare. You will still be a part of the Medicare program; however, you will receive all benefits through your Medicare Advantage plan.

Medicare Advantage plans do give you the opportunity to receive addition benefits rolled into one plan. For example, you would not need to purchase a stand-alone Prescription Drug Plan. You would be able to obtain drug coverage through your Medicare Advantage plan. Although many advertisements claim to be $0 costs for premiums, co-payments, and deductibles, that is not always the case. A Medicare Advantage plan also has networks. If your doctor or physician is not in network, you will not have coverage for your visits. If interested in obtaining a Medicare Advantage plan, we can walk you through the steps to enroll.

Which option is right for me?

A Medicare Supplement is not the right fit for everyone, just like a Medicare Advantage plan is not either. There are many things to consider, such as costs, how often you travel, your choice of doctors, and on and on. If you are approaching 65, you are probably being bombarded with mail explaining which option will be the best for you, which can be overwhelming. MWG Direct has advisors that get to know you and learn more about what matters to you with your Medicare coverage. They will go through all your coverage choices and explain them to you to make sure you understand your options.

We want to make sure you start off your retirement and Medicare journey knowing you made the right decision when it comes to your insurance! Give us a call at (877) 759-5762, and an advisor will be ready to speak with you.


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