Medicare Advantage

Medicare Supplement in Eugene: how Medigap letters work

People in Eugene can choose from 36 Medicare Advantage plans for 2027, against 44 this year. 15 of this year’s plans are gone, 7 are new to Lane County, and 21 that continue have changed their premium, deductible, plan type or name, 5 of them under a new name.

EUGENE, Ore. — If you're turning 65 in Eugene or already sorting through your Medicare mail, the biggest question isn't usually "how many plans exist?" It's "what will this actually cost me?" Eugene sits in Lane County, where the 2027 Medicare landscape gives roughly 80,000 residents aged 65 and up a real range of choices — but the smarter starting point is understanding how Original Medicare, Part D and a Medicare Supplement (Medigap) policy fit together at the cost level.

This piece walks through the program's own cost pieces — premiums, deductibles and the new out-of-pocket protections — so you can see where Medigap does and doesn't fit in.

How Original Medicare charges you

Before you can see what Medigap covers, it helps to picture Original Medicare's own cost structure. Part A (hospital) has a deductible each benefit period, plus daily coinsurance if a hospital stay runs long. Part B (doctors and outpatient care) has a monthly premium, an annual deductible, and then generally 20% coinsurance on covered services — with no cap on that 20%.

That last point is the one that surprises people. Original Medicare, on its own, has no yearly out-of-pocket maximum for Part A and Part B costs. That open-ended exposure is the gap Medigap is designed to close.

Where Medigap fits in the cost picture

A Medicare Supplement (Medigap) policy is private insurance that pays some of the costs Original Medicare leaves to you — things like the Part A hospital deductible, coinsurance days, and the Part B 20%. The specific mix depends on which lettered plan you buy (Plan G and Plan N are common examples), and the benefits within a given letter are standardized by federal rule.

What Medigap does not do:

• It does not cover prescription drugs. For that, you need a separate Part D plan.
• It does not work with Medicare Advantage. You choose one path — Original Medicare (often with a Medigap and a Part D plan) or Medicare Advantage — not both.
• It does not usually cover routine dental, vision, hearing aids or long-term custodial care.

You'll pay a monthly premium for Medigap on top of your Part B premium. In exchange, you get much more predictable bills when you actually use care.

The Part D cost structure for 2026 and 2027

Prescription drug coverage sits in its own bucket, and recent years bring meaningful cost protections:

• The annual out-of-pocket cap for Part D is $2,100. Once you hit it, you pay $0 for covered drugs the rest of the year.
• The maximum Part D deductible a plan can charge is $615.
• The old "donut hole" coverage gap is eliminated as of 2025. Part D now has three phases instead of four.
• The Medicare Prescription Payment Plan lets you spread your drug costs into monthly payments across the year instead of paying a big bill at the pharmacy counter. It's optional, and it doesn't lower your total cost — it just smooths it out.

These figures apply to every Part D plan nationally, including plans sold in Lane County.

IRMAA: the income-based add-on

If your income is above a certain level, you'll pay an Income-Related Monthly Adjustment Amount (IRMAA) on top of your standard Part B and Part D premiums. For 2026, IRMAA begins above $109,000 in income for a single filer (higher for joint filers). Social Security uses your tax return from two years earlier to decide whether IRMAA applies, and you can appeal if you've had a major life change like retirement or the loss of a spouse.

What the Lane County numbers mean for you

For 2026, Lane County residents have 44 Medicare Advantage plans to consider, offered by 9 carriers. Oregon has 10 stand-alone Part D plans for 2026, sold statewide, which is worth knowing if you're planning to stay with Original Medicare and a Medigap policy — it's worth reviewing your drug coverage options carefully on Medicare's Plan Finder.

Star Ratings, which CMS publishes each year, are one way to compare quality — but they're a tool for your own research, not a shortcut to a "best" plan.

When you can make changes

Two dates matter most:

• October 15 – December 7: Annual Enrollment Period. You can join, switch or drop a Medicare Advantage or Part D plan.
• January 1 – March 31: Medicare Advantage Open Enrollment Period. If you're already in an MA plan, you can switch once or drop back to Original Medicare.

Medigap has its own rules. Your best window to buy a Medigap policy — the one with the strongest protections against being turned down for health reasons — is the six-month Medigap Open Enrollment Period that starts when you're 65 and enrolled in Part B.