Medicare BASICS
Let’s talk about the BASICS
Medicare BASICS
Let’s talk about the BASICS
Parts of Medicare
Parts of Medicare
Part A (Hospital Insurance)
Medicare Part A, also known as hospital insurance, covers services you receive when you’ve been admitted to a hospital or other inpatient healthcare facility.
Part B (Medical Insurance)
Medicare Part B, also known as medical insurance, covers outpatient preventive, diagnostic, and treatment services related to your health conditions. There’s an annual deductible and a monthly premium to cover, as well as some coinsurance costs.
Together, Medicare parts A and B are known as “Original Medicare.“
Part C (Advantage Plan)
Medicare Part C, also known as Medicare Advantage, is a private insurance option that covers both Medicare Part A and Part B services.
Most Medicare Advantage plans offer additional coverage for prescription drugs, vision, dental, hearing, and more. Although each plan has different costs, you may pay monthly premiums and copays.
Part D (Drug Coverage)
helps cover the cost of prescription drugs (including many recommended shots or vaccines). You join a Medicare drug plan in addition to Original Medicare, or you can get it by joining a Medicare Advantage Plan with drug coverage. Plans that offer Medicare drug coverage are run by private insurance companies that follow rules set by Medicare.
Medicare Supplemental Insurance (Medigap)
Extra insurance you can buy from a private company that helps pay your share of costs in Original Medicare. Policies are standardized, and in most states named by letters, like Plan G or Plan K. The benefits in each lettered plan are the same, no matter which insurance company sells it.
Your Medicare Options
When you first sign up for Medicare and during certain times of the year, you can choose which way to get your Medicare coverage. There are 2 main ways:
Original Medicare
- Original Medicare includes Part A and Part B.
- You can join a separate Medicare drug plan to get Medicare drug coverage (Part D).
- You can use any doctor or hospital that takes Medicare, anywhere in the U.S.
- You can also shop for and buy supplemental coverage that helps pay your out-of-pocket costs.
Medicare Advantage (also known as Part C)
- Medicare Advantage is a Medicare-approved plan from a private company that offers an alternative to Original Medicare for your health and drug coverage. These “bundled” plans include Part A, Part B, and usually Part D.
- In many cases, you can only use doctors who are in the plan’s network
- Plans often have different out-of-pocket costs than Original Medicare or supplemental coverage like Medigap. You may also have an additional premium.
- Plans may offer some extra benefits that Original Medicare doesn’t.