The Basics of Medicare
Just like before, it helps to know your A, B, C's (and now D's) when it comes to Medicare. Be sure to take our quiz to see if you've got a good handle on the basics.
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A |
PART A...covers some but not all of the costs for inpatient hospital care. It also covers medical care that you may receive at skilled nursing facilities (limited to 100 days maximum and not covering custodial care), some hospice care, and some home health care. You will still have some costs, including a deductible and copayments. You're eligible for Medicare Part A at age 65 even if your retirement age for other benefits (such as Social Security or Railroad Retirement) is higher. You probably paid for Part A through payroll deductions during your working years, so you don't pay a separate premium for this coverage. |
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B |
PART B...helps cover doctor's services and outpatient hospital care. It also helps cover some other health care services that Part A doesn't, including some physical and occupational therapy services and some home health care. These services must be medically necessary in order to be covered. You must sign up for Medicare Part B and most people pay a monthly premium that is deducted from their Social Security check. Your Part B premium may be higher is you don't sign up when you first become eligible, based upon your health. |
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C |
Part C...includes all Medicare Advantage plans. (Medicare Advantage plans used to be called Medicare+Choice plans, so the "C" made more sense then.) Medicare Advantage plans provide health benefits through a private insurer. You can "shop" between Medicare Advantage plans, to decide wether to sign up for a Medicare Advantage plan that offers more comprehensive health coverage than Medicare Parts A and B. If you want to return to "original" Medicare, you can. You must have Medicare Parts A and B to be eligible to join a Medicare Advantage plan. This is not right for everyone, and you should not just sign up after listening to a sales pitch. Get more information before switching to a Medicare Advantage plan. |
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D |
Part D...new for 2006 are the Prescription Drug Plans (Part D for Drugs, get it?) If you have Medicare Parts A or B, you can join (but are not required to join) a Medicare Part D plan, called a prescription drug plan (PDP). You don't get Part D automatically, and you can't be forced to join. You have to select a particular Prescription Drug Plan or a Medicare Advantage plan with a PDP, then enroll within the time limits allowed, and pay the extra premiums. Some people will be eligible for financial help that will lower the Part D premiums. The Prescription Drug Plans will be offered by private companies that contract with Medicare. There will be lots of companies and many options to choose from. You will need to research to find the plan right for you.
And, by the way, you deserve Congratulations... because you're at a great place to learn what you need to know! Thanks for visiting MedicareDrug.info and please recommend us to your friends. | |
So after this you might be asking, "Where does my Medicare Supplemental Insurance fit into this alphabet?" Since Medicare Parts A and B together cover a lot of medical care, they don't cover everything. Many people purchase a Medicare supplement insurance plan from a private insurance company. These plans are called Medigap policies, because they fill in many (but not all) of the gaps resulting from deductibles imposed by Medicare Parts A and B coverage.
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