The Basics of Original Medicare
​Medicare is a federally-run health insurance program in the United States designed for individuals who are 65 and older, as well as for younger people with certain disabilities or health conditions. It was established in 1965 under President Lyndon B. Johnson to provide coverage for essential health services. Here's a breakdown of how Medicare works and what it covers:
Key Points
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Medicare Advantage Plans provide an alternative way to receive your Medicare benefits through private insurance companies, rather than directly from the federal government.
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These plans cover all services included in Original Medicare and often offer additional benefits such as dental, vision, hearing coverage, and fitness programs.
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Medicare Advantage plans usually operate within a network of doctors and hospitals.
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Can be low or $0, but you still pay the Medicare Part B premium.
What Will You Receive?
Once you have been enrolled in Original Medicare (Part A & B) you will receive an ID card with your Medicare Beneficiary number on it. It will also display the dates your Part A and Part B went into effect.
Medicare Part A (Hospital)
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Covers: Inpatient hospital stays, skilled nursing facility care, hospice care, and some home health care
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Cost: Most people qualify for Part A without paying a premium if they or their spouse paid Medicare taxes while working.
Medicare Part B (Medical)
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Covers: Doctor visits, outpatient hospital care, laboratory tests, preventive services, and some home health care
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Cost: Part B requires a monthly premium, which varies based on income.
Medicare Part C (Medicare Advantage)
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Covers: All benefits of Part A and Part B, often including additional benefits like vision, dental, and hearing coverage. Plans are offered by private insurance companies.
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Cost: You pay the Part B premium plus any additional premium required by the Medicare Advantage plan.
Medicare Part D (Prescription Drug Coverage)
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Covers: Prescription medications. You enroll in a Part D plan through private insurers, and the cost varies by plan.
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Cost: Monthly premiums and out-of-pocket costs vary depending on the plan you choose.
Free Consultations to Discuss Medicare Basics
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Long-Term Care
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Dental, Vision, and Hearing
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Medical Care Outside US
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Cosmetic Surgery
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Massage Therapy
What Isn't Covered
Common Myths
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You will be automatically enrolled: If you are not receiving Social Security benefits before turning 65, you may need to actively enroll in Medicare.
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No penalties for late enrollment: Failing to enroll during your initial enrollment period can result in lifetime penalties and higher costs.
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Medicare is free: While Part A is often premium-free, most beneficiaries will pay a monthly premium for Part B.
Key Takeaways
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Medicare consists of four parts: A, B, C, and D, with different coverage options.
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Part C (Medicare Advantage) and Part D (Prescription Drug Coverage) are managed by private insurance companies.
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Enrollment in Part A and Part B is essential before you can enroll in Part C.
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Understanding what Medicare covers and does not cover can help you make informed decisions about supplemental insurance.