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The truth is that both of them are quite different from each other. A Medicare Supplemental Insurance policy is a private health insurance policy especially intended to fill in the gaps where Original Medicare falls short. Herein, the Medicare is the primary or the first payer. A Medigap insurance policy pays for the costs that are not covered in Medicare because of the limits or the insurance deductible amounts under the Medicare plan.
Medicare doesn't cover everything. If you need certain services Medicare doesn't cover, you'll have to pay for them yourself unless you have other insurance or you're in a Medicare health plan that covers them. Even if Medicare covers a service or item, you generally have to pay your deductible, coinsurance, and copayments.