What is High-Deductible Plan F?

Plan F with the high-deductible option is a Medigap policy that supplements traditional Medicare Parts A and B coverage, reports the official U.S. government website for Medicare. Because Plan F is so comprehensive, it is one of the most popular Medigap plans, according to U.S. News & World Report Health.

Medigap policies are sold by private insurance companies to provide coverage for the gaps in Medicare Parts A and B, states the Centers for Medicare and Medicaid Services. Medigap Plan F covers the Part A deductible as well as the deductible, coinsurance, copayments and excess charges for Part B, reports Medicare. Additionally, when Medicare benefits are used up during a hospital stay, Medigap Part F covers Part A coinsurance and hospital costs for up to an extra year. It also covers the first three pints of needed blood and coinsurance for care in a skilled nursing facility. When a Medigap Plan F holder travels outside the United States, the insurance covers 80 percent of needed medical care.

The high-deductible option for Medigap Plan F makes the monthly premiums less expensive, but plan holders must pay out-of-pocket expenses until the deductible limit is reached, according to Medicare. The deductible amount for Medigap Plan F is $2,180 as of 2015, notes the Centers for Medicare and Medicaid Services. The deductible amount increases yearly based on the annual consumer price index.