Medigap: Optional Plans to Supplement Original Medicare (Parts A & B)
Original Medicare does not cover everything. In addition to retirement options through employers, individuals eligible for Medicare have the choice of purchasing a Medigap (Medicare Supplement) policy that would help cover some of the gaps in Original Medicare's coverage.
Depending on where you live, there are ten standard Medigap plans, A-N.* Plan A is generally the cheapest (offering the least amount of additional benefits) and Plan L the most expensive (offering more benefits). However, coverage and premiums vary among plans depending on the company you buy it from.
*As of June 1, 2010, Medicare introduced two new plans, M and N. Plans E, H, I and J will no longer be offered, but Medicare consumers who already have these plans will be able to keep them.