Medicare Supplement

Shopping Medigap in Vancouver: how to compare the same plan letter across insurers

In Vancouver, Medicare Supplement (Medigap) shopping comes with a quirk that trips up a lot of new enrollees: the same plan letter is the same coverage at every insurer, but the price and the rules behind that price can vary a lot from one company to the next. Vancouver is in Clark County, and Washington residents can choose from more than a dozen insurers selling standardized Medigap policies statewide. Knowing what to compare — and what not to bother comparing — is the difference between an easy decision and a frustrating one.

Medicare SupplementVancouver, WA

The same letter is the same coverage

This is the single most important thing to understand before you start calling insurers. A Plan G sold by one company pays the same Part A and Part B cost-sharing as a Plan G sold by any other company. A Plan N is a Plan N. A high-deductible Plan G is a high-deductible Plan G. Insurers cannot add or drop benefits from a standardized letter.

That means if two agents are pitching you Plan G, you are looking at identical coverage. What you are really shopping is the company behind it — how it prices, how it raises rates over time, and how it treats you if you apply outside a guaranteed-issue window.

Who sells Medigap in Washington

The insurers currently selling Medigap policies to Washington residents include AARP - UnitedHealthcare Insurance Company, Bankers Life (underwritten by Washington National Insurance Company), GPM Health and Life Insurance Company, Humana (HumanaDental Insurance Company), Insurance Company of North America, Medco Containment Life Insurance Company, Medico Insurance Company, Mutual of Omaha (United World Life Insurance Company), Premera Blue Cross, Premera Blue Cross (WA State Health Care Authority), Regence BlueShield, State Farm Mutual Automobile Insurance Company, United American Insurance Company, and USAA Life Insurance Company.

Not every insurer offers every plan letter. Some carry only A, F, G and N; others carry the high-deductible versions of F or G; a couple offer the cost-sharing K and L plans. The table below lists every insurer and the exact plan letters each one sells in Washington, so you can see at a glance which companies to call for the letter you are considering.

For people newly eligible for Medicare today, the standardized letters available are A, B, D, G, high-deductible G, K, L, M and N. Plans C and F are only available to people who were eligible for Medicare before January 1, 2020.

Pricing methods: the biggest thing to ask about

Medigap premiums in Washington are set using one of three pricing methods, and the method matters as much as the starting price:

• Attained-age rated. The premium goes up as you get older. It usually starts lower and climbs over time.
• Issue-age rated. The premium is based on your age when you first buy the policy. It does not go up just because you have a birthday, though it can still rise with general rate increases.
• Community rated. Everyone in the state pays the same base premium, regardless of age. New buyers and 85-year-olds pay the same starting rate.

None of these is automatically better — it depends on your age today, how long you expect to keep the policy, and your comfort with future increases. When you call an insurer or an agent, ask which method they use for the plan letter you are considering.

Rate history: what a company has done matters

A quoted premium is only a snapshot. What you really want to know is how that insurer has raised rates on that plan letter over the last several years in Washington. A company with a low starter rate and a habit of 10%+ annual increases can quickly cost more than a company that started higher and holds rates steadier.

The Washington Office of the Insurance Commissioner publishes a Medicare Supplement rate guide each year showing insurer-by-insurer rate information. That guide, along with the Medicare.gov Medigap policy search, is the cleanest place to see who sells what and how rates have moved.

Household discounts and underwriting

Two more things vary from insurer to insurer:

Household discounts. Many Medigap carriers offer a discount — commonly in the range of 5% to 12% — if you live with another adult, and sometimes if that adult is also on their policy or simply on Medicare. The rules differ by company. Always ask.

Medical underwriting. During your six-month Medigap open enrollment period (which starts the month you are 65 or older and enrolled in Part B), insurers must sell you any plan they offer at their best available rate, regardless of health. Outside that window, and outside a guaranteed-issue situation, most insurers can ask health questions and decline you or charge more. Underwriting standards differ from company to company — one insurer may decline an applicant that another accepts. If you are shopping later in life or switching plans, this is a critical question to ask upfront.

How to actually compare

A practical shopping checklist for Vancouver residents:

1. Decide which plan letter fits your budget and risk tolerance (G, high-deductible G and N are the most common choices for people newly eligible today). 2. Pull the list of insurers offering that letter in Washington from the table below. 3. Use Medicare.gov’s Medigap policy search (enter your ZIP code) and the state insurance commissioner’s rate guide to see rates and rate histories. 4. Ask each insurer or an independent agent: What pricing method do you use? What have your rate increases looked like the last three years? Do you offer a household discount? Will I need to answer health questions? 5. Confirm the company is licensed in Washington before you sign anything.