Medicare is health insurance for people 65 or older or certain people with specific disabilities.
Medicare is broken into four sections. It can be very confusing to understand all the different facets of Medicare and the meaning of each plan. My job is to break down each section and simplify the process of entering Medicare.
Medicare Part A:
Part A is your hospital insurance. It covers your expenses if you require an over the night stay in the hospital. It also covers blood transfers larger than 3 pints of blood.
There is no cost associated for Part A for a majority of people as long as you have worked for more than ten years. The taxes you have paid up until this point are what have funded this benefit. As of 2024, the Part A deductible is $1,632. However, there are many different ways to cover this expense through Medigap plans.
Medicare Part B:
Part B is your outpatient services that are deemed medically necessary. This section of Medicare is for doctor visits, out patient surgeries, preventative care, and a whole list of other services.
Part B does have a cost of $174.70 a month and is typically taken from Social Security. The Part B deductible for 2024 is $240. This section of Medicare typically covers 80% of services. Medigap plans help cover a majority of these costs if you choose that route.
Medicare Part C:
Part C is also known as Medicare Advantage plans. It is a form of private Medicare insurance. This section of Medicare is probably the most confusing because of all the advertisements and flyers you will receive in the mail trying to sell this plan to you.
These plans are private plans that you utilize instead of traditional Medicare. These plans will cover both your Part A and Part B. A majority of them will also cover your Part D all under the same carrier.
These plans will have a network of doctors and providers that they want you to stay within. These Advantage plans have a lower premium than Medigap plans but you will pay more in copays as you use your services. They have the potential to far more expensive in the long run.
Medicare Part D:
Part D is for prescription drugs. These plans will help offset the cost of prescription medications. You must choose one available in your county. There is a monthly premium that could be as low at 50 cents a month if you're on no medications or tier one medications up to $25 or higher depending on your needs. I will run your list of prescriptions through my software to find the most cost efficient plan for your needs.
These plans are fluid and need to be evaluated yearly. Every fall I will mail you asking for the most recent list of medications so that I can make sure that you're on the best plan for the coming year. I do lots of research each year to make sure that my clients are taken care of and getting the right amount of services at the lowest price.