Over the next decade, more than 29 million Americans will be turning 65. So what does that mean for you and your future…ask yourself these simple questions:
What is Medicare Part A?
Medicare Part A is the Hospital Portion of Original Medicare. Coverage generally includes Hospital Care (inpatient), Limited home health services, Skilled nursing facility care for rehabilitation related to an inpatient hospital stay, and Hospice care. Medicare Part A has no premium for most people who qualify provided they have met the work requirements. Coverage is provided with the payment of a large deductible which increases each year.
What is Medicare Part B?
Medicare Part B is the Medical Portion of Original Medicare. Coverage generally includes medical services and supplies that are necessary to treat health conditions. This can includes things like outpatient Doctor office visits, preventative services, ambulance services as well as some vaccines and other coverages. There is a monthly premium which can change each year. There is also a deductible and coinsurance cost for care.
What is Medicare Part C?
Medicare Part C is made up of different plans provided by insurance carriers that contract with Medicare to administer coverage. These plans are generally called Medicare Advantage Plans. These plans are designed to offer the same or better coverage than Original Medicare (Part A and B) by utilizing different copays, deductibles and coinsurance for service. These plans can include coverage for Prescription drugs as well as other benefits not included in Original Medicare such as Vision, Dental, Hearing and/or Health and Wellness plans. These plans generally have a monthly premium they charge although there are also some $0 premium options.
What is Medicare Part D?
Medicare Part D is Prescription Drug coverage which can be purchased through a Medicare Advantage plan or possibly as a stand-alone plan. Part D plans generally follow a 5 tier coverage plan with different copays or coinsurance depending on tiers, they may also have a deductible. Plans follow their own drug Formularies which vary by plan and company but all adhere to a standard put out by Medicare and will include drug options for all treatment categories but not all drugs. There are many plans with various monthly premium options.
What’s are Medicare Supplement Plans and Medicare Cost Plans?
Medicare Supplement (Medigap) plans are an alternative way to add coverage to Original Medicare. These plans are designed to help cover the deductibles and coinsurance costs included in Original Medicare. These plans have monthly premiums but include options that do not have deductibles or copays.
Medicare Cost plans are similar to Medicare Advantage plans but are structured differently and are not available in all areas. They are plans provided by insurance carriers that contract with Medicare and are designed to offer the same or better coverage than Original Medicare. These plans can include a monthly premium, copays, coinsurance and deductibles, they can include a Part D coverage.
When do I buy a Medicare Plan?
Medicare plans are available for purchase when you first enroll in Medicare, anytime if you qualify for a Special Enrollment Period or annually during the Annual Enrollment Period which runs from October 15th through December 7th.
Which type of Plan is right for me?
Each individual has different health and economic needs so the best way to find the right plan is to discuss your needs with a trusted advisor. Please make an appointment with one of our agents today.
Soderholm Insurance Services Knows Medicare. So if you have questions we have answers. We represent a number of Medicare Plan Sponsors like:
- BlueCross BlueShield of MN
- UnitedHealthCare AARP
- Aetna SilverScript