Medicare is the federal health insurance program designed for:
- Individuals aged 65 and older
- Certain younger people with disabilities
- Those with End-Stage Renal Disease (ESRD)
Parts of Medicare:
1. Medicare Part A (Hospital Insurance):
- Covers inpatient hospital stays, skilled nursing facility care, hospice care, and some home health care.
2. Medicare Part B (Medical Insurance):
- Covers certain doctors’ services, outpatient care, medical supplies, and preventive services.
3. Medicare Part D (Prescription Drug Coverage):
- Helps cover the cost of prescription drugs, including recommended shots or vaccines.
Premiums:
- Most people don’t pay a monthly premium for Part A.
- Part B requires a standard monthly premium, with additional costs based on income.
- Part D premiums vary, and costs depend on the chosen plan.
Enrollment Options:
- Original Medicare:
- Includes Part A and Part B, with payment for services as you receive them.
- Additional coverage can be obtained through Medigap policies.
- Medicare Advantage:
- Offered by private companies, providing an alternative to Original Medicare.
- “Bundled” plans include Part A, Part B, and often Part D, with potential extra benefits.
- Yearly contracts and adherence to Medicare’s coverage rules.
Prescription Drug Coverage (Part D):
- Join a Medicare-approved plan for drug coverage.
- Varies in cost, covered drugs, and tiered formulary.
- Monthly premiums and additional costs depend on the selected plan.