Introduction to Medicare
What is Medicare?
Medicare is a health insurance program available to:
- People age 65 and older
- People younger than 65 with certain disabilities
- People of any age with end-stage renal disease (permanent kidney failure)
Medicare has four parts.
Part A Hospital Insurance
Most people don’t pay a monthly premium for Part A because they or their spouse already paid for it through payroll taxes. Part A covers:
- Hospital costs like room and board and other inpatient care in hospitals and skilled nursing facilities
- Hospice care and some home health care
Part B Medical Insurance
Most people pay a monthly premium for Part B. Part B helps cover medical costs like:
- Doctor visits and outpatient care
- Some other medical services Part A doesn’t cover
Part C Medicare Advantage
Referred to as a Medicare Advantage plan, Part C is offered by private companies like Health Alliance that contract with Medicare and covers both Part A and Part B. With most Medicare Advantage plans, you pay a monthly premium. With some plans, Part D coverage is also included.
Part D Prescription Drug Coverage
This is an optional program that helps cover your prescription drug costs. Part D is only offered by private companies like Health Alliance that contract with Medicare. To get this coverage, you can purchase a standalone Part D plan or a Medicare Advantage plan that includes Part D. Go to Prescription Coverage Basics to learn more.
Note:
You choose how to get your Medicare health insurance coverage. Different options and Medicare plans are available to you.