Traditionally, insurance agents who sell medicare have been taught that Plan F is the best. End of story.

In general, retirees just getting ready to purchase medicare hear this from their friends, adding to the belief that Plan F is the be-all-end-all of choices.

Well, their friends didn’t go to insurance buying school, and an agent needs to realize that “the best” isn’t necessarily the best value.

In many areas, the premium difference between Plan F and Plan G could be $400 per year. The only difference is payment of the Part B deductible. So even after the client pays the deductible, Plan G can still save them $250 (in this example). So is Plan F still the best plan?

In Southern California, Plan N is at least $600 less than F and at older ages could be as much as $1,300. It takes more explanation from the agent to go over the potential costs but the reality is most clients would have a difficult time spending $300 out of pocket.

Yes, in both cases the agent could get a call from their client who will (and they will) forget there is a share of cost. But it’s a great time to reinforce why you made the recommendation and stay in touch with your client.

An added benefit especially in the case of Plan N is that generally you won’t be undersold by another agent since most agents aren’t smart enough to understand the value of the plan and premium differences are likely to be much smaller than for Plan F.