How Medicare Works
Medicare is the federal health insurance program for people over 65 years of age and people with certain disabilities or End-Stage Renal Disease (permanent kidney failure).
There Are Four Parts to Medicare:
- Part A – Hospital Insurance
- Part B – Optional Medical Insurance
- Part C – Optional Medicare Advantage Insurance
- Part D – Optional Prescription Drug Insurance
Medicare Part A
Helps pay for care in hospitals, some skilled nursing facilities, hospice, and some health care. For most people, Part A is premium-free because they paid Medicare taxes.
Optional Medicare Part B
Optional coverage to help pay for doctors, outpatient hospital care, and some other medical services not covered by Part A. Part B monthly premium amounts are based on income and change each year. There may be a late-enrollment penalty.
Part C Optional Medicare Advantage Plan Monthly
An alternative to traditional Medicare, Part C is another way to get Medicare benefits. It combines Part A, Part B, and, sometimes, Part D (prescription drug) coverage. Medicare Advantage Plans are managed by private insurance companies approved by Medicare. These plans must cover medically-necessary services. However, plans can charge different copayments, coinsurance, or deductibles for these services.
Part D Optional Medicare Prescription Drug Plan
This optional coverage may help lower an individual’s prescription drug costs and help protect against higher costs in the future.
Medicare Advantage & PDP
The Annual Election Period is October 15 through December 7. We’re here to help with your preparation and answer your questions.