What is Medicare?

What is Medicare?

Are approaching 65?  Or maybe you're retiring soon?  You've probably noticed your mailbox is getting full fast and soon you will receive an influx of calls from agents about Medicare secondary insurance.  It's important to research your options, but it can be very confusing when you have so much coming at you all at once.  If you need a resource that will walk you through the Medicare maze, look no further!  Let's take a look at a popular question we hear.  

So what is Medicare?  It is a federal health insurance program for three sets of the U.S. population.

  1. People who are 65 or older
  2. People under 65 with disabilities
  3. People with End Stage Renal Disease (ESRD)

Original Medicare consists of three main parts: Part A, Part B, and Part D. 

Part A is your inpatient hospital coverage and Medicare covers 80% after your deductible is met.  Part A is free to people who have worked and paid into Medicare for 40 quarters (10 years) or more.  If you've not paid into Medicare that long, the Part A premium could be up to $422 (2018 numbers).

Part B is your medical coverage and it covers 80% of services at the doctor's office, outpatient care, durable medical equipment, and preventive care (you have an annual wellness visit that is covered at 100% as long as they perform only the approved services).  The standard premium for Part B is $134, however, some individuals could pay more or less depending on their situation.  

Part D is your prescription drug coverage.  These plans range from approximately $20 - $90.  The drug plan recommended for you will be based on which medications you take and the pharmacy that you use.  

What is Supplemental Insurance?

With Medicare covering 80% with no cap on costs, that puts you at risk of receiving high medical bills.  To protect your income for unforeseen health events, you may want to consider a Medicare Supplement policy.  These plans are offered by private insurance carriers.  There are different plans available and a wide variety of rates to fit all budgets.  These policies pick up after Medicare and can help you keep your medical costs at bay.  One attractive feature of Medicare Supplement plans is that any doctor that accepts Medicare will accept the Medicare Supplement - no questions asked.

What is Medicare Part C?

Medicare Part C is also known as a Medicare Advantage plan.  These plans are also run by private health insurance carriers.  If you choose a Medicare Advantage plan, the plan will administer your Medicare Parts A & B coverage.  Medicare Advantage plans typically have network doctors, but there are some plans that will allow you to go to a doctor out of network at a higher cost.  

Navigating the Medicare Maze

I hope this article has helped you understand a little about Medicare.  When it comes to specifics of what you need to do, call our advisors at (877) 759-5760.  Everybody's situation is different and we provide personalized service so you obtain the right coverage for your needs and budget.  

Medicare Maze