Medicare is broken up into 4 parts, lettered A ,B, C & D.
Part A: Covers your stay in the hospital.
In addition to your hospital stay, Part A will cover you while you are in a Skilled Nursing Facility (under specific circumstances).
Many people get confused, but this is NOT Long Term Care or Custodial care.
Medicare does not cover either of these.
In addition, Part A will cover some Home Health Care (after a hospital stay) as well as Hospice Services.
Keep in mind, while the above services are covered by Medicare, they are subject to Deductibles and Copays and Coinsurance.
There is generally no premium for Part A, as long as you or your spouse has worked (and paid payroll taxes) for 40 quarters or ten years.
Part B: Covers the doctor, specialists, laboratory expenses, diagnostic tests, and therapeutic drugs (not regular prescription drugs).
Again, these services are subject to Deductibles, Copays and Coinsurance.
There is a premium for Part B.
Part C: Is called Medicare Advantage.
These are private health plans that are contracted with Medicare to provide all your medical benefits.
These private companies must follow rules that are set up by Medicare.
Many people get confused, but Medicare Advantage plans are NOT Medicare Supplements or Medigap insurance.
With an Advantage plan, you may receive additional benefits, but not all doctors and hospitals accept these plans.
You need to check with them about the specific plan that you are considering.
To qualify, you must have Parts A and B, live in the service area, and not have end stage renal disease.
Part D: Is the prescription drug coverage.
Every person on Medicare is eligible for this coverage.
All the plans are administered by private insurance companies, who have a contract with Medicare.
There are many plans to choose from.
Each plan can vary on the copays, how they cover certain medications, and the premium.
The drug plans are offered either as a separate policy, or sometimes they are included in a Medicare Advantage plan.
If you cannot afford a plan, you may qualify for government assistance (Low Income Subsidy).
To qualify for Medicare, you usually have to be 65 or older.
People under 65 may qualify if they are disabled or have End Stage Renal Disease.