Medicare Advantage vs Medigap
Medicare Advantage (Part C) and Medigap (Medicare Supplement) solve the same problem in different ways. Medicare Advantage plans are offered by private insurers approved by Medicare and bundle Part A, Part B, and usually Part D, often adding dental, vision, hearing, and fitness perks. Premiums can be as low as $0 on top of Part B, and every plan has an annual out-of-pocket maximum. The trade-off is provider networks and prior-authorization rules, so plan choice hinges on whether your doctors are in-network and how your prescriptions are covered. By contrast, Medigap policies supplement Original Medicare by covering much of its cost sharing — deductibles, copays, and coinsurance — so you get highly predictable costs and can see any provider that accepts Medicare nationwide, with no networks. Plans are standardized by letter (e.g. Plan G, Plan N), so the difference between carriers for the same letter is price and service. Medigap does not include drug coverage, so you add a standalone Part D plan. Below we compare them on cost, coverage, eligibility, and who each one fits best — with sources you can check.
| Factor | Medicare Advantage | Medigap |
|---|---|---|
| Typical monthly cost | Approx. $0-$100/mo plan premium on top of the Part B premium | Approx. $120-$300/mo depending on plan letter, age, and state |
| Relative cost | $·· | $$· |
| Category | Medicare option | Medicare option |
| Is it insurance? | Yes | Yes |
| ACA-compliant major medical | Yes | Yes |
| Covers pre-existing conditions | Yes | Yes |
| Eligibility | Must have Medicare Parts A and B and live in the plan’s service area. | Best bought during your Medigap Open Enrollment window (no health questions then). |
| Best for | People who want bundled extras; Those comfortable with a network; Budget-focused beneficiaries | People who want predictable costs; Frequent travelers; Those who want any-provider access |
Medicare Advantage
Medicare Advantage plans are offered by private insurers approved by Medicare and bundle Part A, Part B, and usually Part D, often adding dental, vision, hearing, and fitness perks. Premiums can be as low as $0 on top of Part B, and every plan has an annual out-of-pocket maximum. The trade-off is provider networks and prior-authorization rules, so plan choice hinges on whether your doctors are in-network and how your prescriptions are covered.
Pros
- Often $0 premium
- Bundles drug/dental/vision
- Annual out-of-pocket cap
Cons
- Provider networks
- Prior authorizations
- Coverage varies by county
Medigap
Medigap policies supplement Original Medicare by covering much of its cost sharing — deductibles, copays, and coinsurance — so you get highly predictable costs and can see any provider that accepts Medicare nationwide, with no networks. Plans are standardized by letter (e.g. Plan G, Plan N), so the difference between carriers for the same letter is price and service. Medigap does not include drug coverage, so you add a standalone Part D plan.
Pros
- Predictable out-of-pocket costs
- Any Medicare provider, no network
- Standardized plans
Cons
- Higher premium than most Advantage plans
- No drug coverage
- Medical underwriting outside open enrollment
Frequently asked questions
- Is Medicare Advantage or Medigap cheaper?
- Medicare Advantage typically has the lower monthly cost (approx. $0-$100/mo plan premium on top of the part b premium), while Medigap runs higher (approx. $120-$300/mo depending on plan letter, age, and state). The cheaper option is not automatically better — weigh the coverage trade-offs below.
- What is the main difference between Medicare Advantage and Medigap?
- Private all-in-one Medicare plans that often bundle drug, dental, and vision — with networks and an out-of-pocket cap. A private policy that pays Original Medicare’s out-of-pocket costs for predictable bills nationwide.
- Can I switch between Medicare Advantage and Medigap?
- Often yes, though timing rules apply. Comprehensive insurance changes usually happen during Open Enrollment or a Special Enrollment Period, so check the enrollment window before you switch.
Sources
- Medicare.gov — the official U.S. government Medicare site · reviewed 2026-01-15
- OLYRON HealthMatch editorial methodology — how we source and rate options · reviewed 2026-01-15
Not sure which option fits you?
Answer a few questions and we will match you with a licensed advisor. Free, no obligation.