If your Medigap premium keeps increasing, you are not alone and you are not being singled out. Medigap (Medicare Supplement) premiums usually rise for almost everyone over time, but recently prices have increased dramatically. The reason has nothing to do with your individual health and comes down to 6 reasons we have identified below. We will explain why prices have jumped as of late and how you can pay less by shopping carriers and switching.
Why Are Medigap Premiums Increasing So Much Right Now?
Some rate increase every year is expected, but the jumps have been unusually steep lately. Over the past few years, our team at Senior65 has seen clients hit with annual Medigap increases as high as 25%, far above the gentle bumps that used to be typical. Independent data backs this up: in early 2026 rate filings with state regulators by major insurers, increases on Plan G (the most popular supplement) ranged from just over 12% to more than 26% in the first quarter alone, according to actuarial consulting firm Telos Actuarial. The six forces outlined below are pushing Medigap premiums up at once.
1) The COVID Rebound in Medical Claims
The pandemic scrambled health care spending. In 2020, many seniors put off surgeries, screenings, and routine visits, which briefly held claims down. As people caught up on that delayed care over the following years, hospitals and doctors saw a surge in use, and insurers have been building those higher claim levels into recent rate filings. Part of today’s Medigap increase is the system catching up from the pandemic which officially ended in 2023 (Source: Northwestern Medicine).
2) Rising Health Care Costs, Hospital Consolidation, and New Technology
Medical care gets more expensive almost every year, and national health spending has been climbing faster again since the pandemic. Source: Peterson Health System Tracker. Medigap exists to pay the share of those costs that Original Medicare leaves to you, so when hospital and physician prices rise, the premium needed to cover them rises too. Two trends make this worse: hospital systems have consolidated into larger groups, which researchers have linked to higher prices, and expensive new drugs, devices, and procedures keep adding to what Medicare and your Medigap plan pay out. Insurers also point to higher use of medical services and rising labor costs as factors behind recent rate filings. Source: CBS News.
3) Medigap Medical Loss Ratio Rules
Medigap insurers are required to spend a minimum share of the premiums they collect on actual medical claims, a rule known as the medical loss ratio. That protects consumers, but it also ties premiums closely to claims: when the cost of the care a plan pays for goes up, premiums have to go up to stay within the required ratio. So a year of higher claims tends to show up directly in next year’s rates.
4) Medigap State Switching Rights and Guaranteed Issue Rules
At least 16 states now have a Birthday Rule that lets Medigap members switch plans without underwriting around their birthday, and some states (New York, Connecticut, Washington, Maine, and Massachusetts) guarantee switching either year-round or once a year. Those rights seem genuinely good for consumers, but insurance providers typically increase prices in these states for everyone because they are forced to approve new members with expensive pre-existing conditions. A similar effect happens when Medicare Advantage plans exit a market (about 2.6 million people lost their MA plan heading into 2026) and those members can move into Medigap without health screening. Sources: KFF and CBS News.
5) Medigap Plan F and the “Closed Block” Problem
If you have Medigap Plan F (or Plan C), you may be seeing especially sharp increases. Plan F and Plan C are no longer available to people who became eligible for Medicare on or after January 1, 2020. Plan F still covers a large group (about 36% of Medigap policyholders, or nearly 4.9 million people, in 2023) Source: KFF, but no younger, healthier members are joining, so the pool keeps aging with no new entrants to balance it. These “closed blocks” typically face steeper rate hikes year after year.
Every Medigap plan is a pool of people, and as that pool ages, members use more health care. Healthier members often shop around and move to a lower-priced policy, while those with health conditions tend to stay put because switching can require medical underwriting. Over time the pool that remains is older and less healthy, which pushes the average claim cost (and the premium) higher.
6) Your Medigap Carrier
Finally, two people with an identical Plan G can pay very different premiums depending on their insurance company. Some companies raise rates more aggressively than others, especially after they stop selling a plan to new customers. This is exactly why comparing carriers matters so much, which brings us to what you can actually do.
Get a Medigap Quote Enroll in Medigap
What Can You Do About Rising Medigap Premiums?
You can’t stop a carrier from raising its rates, but you have more control than you might think. Because Medigap benefits are standardized by the federal government, a Plan G from one company covers exactly the same things as a Plan G from another. That means you can often lower your bill without giving up any coverage.
Shop the Same Medigap Plan for a Lower Price
The simplest move is to compare what other carriers charge for the plan you already have. Since the coverage is identical, switching to a lower-priced version of the same plan can cut your premium while keeping your benefits exactly the same. You can compare top national carriers in less than 30 seconds. Make sure you read, “How to Switch Medigap Plans” below first.
Shop for a Medigap Plan with Fewer Benefits for a Lower Price
If you have Plan F, switch to a G. If you have a G, switch to an N or high-deductible G to save money each month. Learn more about lower cost Medigap plans here. Make sure you read, “How to Switch Medigap Plans” below first.
How to Switch Medigap Plans
A) Switch Your Medigap Plan Using Medical Underwriting
You can apply to switch Medigap plans at almost any time of year by going through medical underwriting, where the insurer reviews your health history. Many people assume they will be turned down, but approval is more common than expected, especially if you have been treatment and symptom free for 2+ years. It is usually the most flexible path to a lower premium. Though underwriting can result in a denial, there is no downside in trying. Before you assume you are stuck on your current Medigap plan, see where you stand with the Instant Medigap Underwriting Checker.
B) Switch Your Medigap Plan Using Birthday Rule and State Switching Laws
If you live in a state with a Birthday Rule or another guaranteed-issue window, you may be able to switch to an equal or lesser Medigap plan without medical underwriting during a set period each year. These rules are a helpful bonus if you qualify, but treat them as secondary to underwriting, since they only apply in certain states and usually let you move to the same or lesser benefits, not richer ones. You can check the details in our Medigap Birthday Rule guide.
Read our Medicare insurance ultimate switching guide here.
💡 Tip: Don’t cancel your current Medigap policy until your new one is approved and active. If you apply through underwriting and aren’t approved, you’ll want to keep the coverage you already have.
Compare Medigap Plans and Prices With Senior65
A rate increase is the perfect time to make sure you are still getting the best price on your Medigap coverage. Our help is always free, and because Medigap plans are standardized, no company can offer you a lower price on the exact same plan than you will get through Senior65. Get a free Medigap quote to see what the same coverage costs from other top carriers, or call 800-930-7956 to speak with a licensed agent on our team who can compare your options with you.