Is High Deductible Plan G the “Middle Ground” Medicare Option You’ve Been Looking For?



When it comes to choosing a Medicare plan, there are two main paths you can take:  Medigap (also called Medicare Supplement) or Medicare Advantage.

But then someone mentions High Deductible G, and now you’re wondering - wait, is this a third option?

The short answer is no.  High Deductible Plan G is still a Medigap plan,  but it can feel like a middle ground between the two main paths, which I'll explain below.  If you're trying to balance freedom of choice, lower monthly premiums, with reasonable out of pocket copays, this plan might be exactly what you’ve been looking for.

First - What Is High Deductible G?

High Deductible G (HDG for short) is a version of the popular Medigap Plan G.  It gives you the same overall features of Medigap that everyone loves:

• You keep Original Medicare.
• You can see any doctor that accepts Medicare, no referrals needed.
• No prior authorization hoops to jump through.
• Nationwide coverage (great for travelers and snowbirds).

But it works differently when it comes to cost-sharing.

What Makes It Different?



With HDG, instead of paying a higher monthly premium like with regular Plan G, you pay a lower premium and are responsible for more out-of-pocket costs up to a set limit.

That limit is your maximum out-of-pocket for the year, technically called a duductible, in this case. In 2025, that deductible is $2,870.

Once you’ve paid $2,870 out-of-pocket for medical services (not counting your premium), the plan steps in and pays 100%, just like a regular Plan G would.

Let’s Talk About the D-Word: Deductible



The word “deductible” tends to freak people out. It brings to mind high-dollar bills and no help until you hit some huge number.

But this plan doesn’t work like that.

Original Medicare still pays 80% of your medical bills right from the start. You're not paying full price. You're only paying the 20% Medicare leaves behind - until you reach that $2,870 max.

You’re essentially paying copays, not full-price bills.

Here’s a quick breakdown of what that might look like:

• $257 – The annual Medicare Part B deductible (you pay this first).
• 20% – Your share of costs for doctor visits, lab work, & outpatient procedures.
• $1,676 – What you’d pay if you’re admitted to the hospital (covers up to 60 days).
• $209.50/day – Copay for skilled nursing days 21–100.

All of those payments count toward your $2,870 cap for the year. After that, you're done, and your plan takes over.

How Does This Compare to Medicare Advantage?

Here’s where it gets interesting.

Many Advantage plans come with:

• No upfront deductible.
• Fixed copays (e.g., $0 - $50 for a doctor visit, $125 for the ER).
• A network of doctors and specialists.
• A maximum out-of-pocket of $6,000–$8,000 in many areas.

With High Deductible G, you:

• Don’t have to stay in a network.
• Don’t need referrals.
• Have a lower max out-of-pocket ($2,870 in 2025).
• Still get Original Medicare coverage.

So while you may pay a bit more upfront on HDG, the long-term protection can be better, especially if something big happens.

Monthly Costs: What’s the Catch?

Here’s where HDG really shines:

In many states, HDG plans are priced significantly lower than regular Plan G or Plan N.

Florida Example (Age 65 Female):

• Plan G: $183–$211/month
• High Deductible G: $46–$54/month

Virginia Example (Age 65 Female):

• Plan G: $97–$140/month
• High Deductible G: $33–$42/month

That’s a savings of $100+ per month in some areas, which can add up to over $1,200/year,  money you could set aside in case you do hit that $2,870 cap.

Is It Right for You?

Here’s a quick summary of the pros and cons:

High Deductible G Pros:

• Low monthly premium
• Lower overall risk than many Advantage plans
• No networks or referrals
• Predictable max out-of-pocket
• Freedom to see any Medicare provider

High Deductible G Cons:

• You pay more upfront for services
• ER visits may cost more than flat Advantage copays
• Hospitalization cost could be $1,676 even if you’re only there one day
• Requires separate drug plan (like all Medigap plans)

It comes down to your comfort level with upfront costs vs. monthly premiums and how much you value the freedom that Original Medicare gives you.

One Last Thing…

If you’re new to Medicare (or helping someone who is), I’m running a free 5-day Bootcamp from May 19–23, 2025 inside my Facebook group Navigating Medicare the Easy Way.  Each day, I’ll post one short, actionable video to walk you through the process of getting onto Medicare and choosing the right plan for you. 

If you want in, just join the group before May 19th.  It’s free, updated for 2025, and perfect for anyone who wants to understand Medicare without all the fluff.   Join here:  Navigating Medicare the Easy Way

Need Help Deciding?

This is what I do every day, helping people just like you figure out which Medicare path makes sense. I guide you through your options, explain them in simple terms, and help you enroll stress-free.

You can book a call with me directly at DecodingMedicare.com. Click the Contact tab to see my availability and get on my calendar.

You’ll never feel rushed, pressured, or talked down to. Just honest, helpful advice to help you make the best choice for you.



REQUEST YOUR FREE 2025 MEDICARE WORKBOOK HERE: