Medicare is a federal run health insurance program for senior citizens over 65. The program offers coverage to those as well who are under 65 but qualify because of a disability or another special situation.
In Medicare you have choice how you obtain coverage benefits. It can be through the federal government’s Original Medicare (Parts A & B) or like prescription drug coverage (Medicare Advantage plans (Part C) and Medicare Part D drug coverage plans) through a Medicare-approved private insurance carrier in the state.
Medicare Plan A:
Medicare Part A is an integral part of Federal’s Original Medicare program. It’s hospital insurance that offers coverage in case you went through an inpatient hospital stay. The coverage includes benefits like room fees, meals, operating room, and rehabilitation services etc. In addition, it also includes coverage for lab tests and X-rays.
The plan also includes benefits like medical supplies and drugs that are required for the administered during your hospital stay. Unfortunately, the plan doesn’t cover the fees incurred on doctors who were associated with you in the hospital. The program also doesn’t cover hospital fees such as private duty nursing, the television or telephone in your room.
Medicare Plan B:
Medicare Part B is another important component of Original Medicare program. The plan offers coverage for medically necessary outpatient services such as routine doctor visits, many emergency medical services and outpatient mental health services. You will also get coverage for the equipment and tests administered during these outpatient services. Moreover, Medicare Part B also offers funds for select medication administered during your visit.
Medicare Plan C (Medicare Advantage Plans):
Medicare Plan is also called Medicare Advantage that combines the benefits of Medicare Parts A & B (Original Medicare) together. The only difference between Original Medicare and Medicare Advantage is that the latter is provided by private insurers while the Original Medicare is a federal run healthcare program.
Medicare Advantage Plans covers the entire benefits of hospital (Part A) and doctor (Part B). The plan is required to offer all the benefits included in Original Medicare that necessarily doesn’t include hospice care which continues to be covered by Part A. The fact is that some Medicare Advantage plans also include prescription drug coverage and routine eye and dental care benefits.
Some Medicare Advantage (Part C) plans offer benefits like prescription drug, vision, hearing and dental coverage that Original Medicare (Parts A & B) doesn’t include. A Medicare advantage plan is bound to feature an annual maximum cap on out-of-pocket costs. This means, once the coverage limit is exhausted, beneficiary will pay nothing for the additional coverage provided.
Medicare Plan D (Prescription Drug Coverage):
Medicare Part D is also known as prescription drug coverage. Like Medicare Advantage, Medicare Part D is also offered by private insurance carriers in the state under supervision of Medicare. Any beneficiary who is eligible for Original Medicare, Part A and/or Part B, and permanently resides in the service area of a Medicare Prescription Drug Plan, can sign-up for Medicare Part D. Although, Medicare Part D is optional coverage, you may end up paying late penalty if you enroll later.