Information
Medicare is the federal health insurance program for people age 65 and older. Certain people younger than age 65 can qualify, including those who receive Social Security Disability Income & those who have permanent kidney failure. Because Medicare is health insurance, you share the costs of your car
Medicare Alphabet
PART A
- Hospital / facility coverage
PART B
- Medical / outpatient coverage
These are Original Medicare coverage
(Both of these pay 80%. Many people want something to fill the 20% “gap.” There are options available to help cover the 20%)
MEDIGAP
- Supplement Insurance for Original Medicare – these standardized plans cover 20% of the Medicare-approved cost
PART C- MEDICARE ADVANTAGE PLAN
- It is still Medicare, just delivered differently. Hospital and Medical coverage, and sometimes Drug coverage, are bundled and provided by a managed care plan (HMO-PPO-PFFS)
PART D
- Prescription drug coverage, available to all people with Medicare Part A & B or just Part A or just Part B.
VOLUNTARY
- Part B (Medical) and Part D (Drug) are voluntary – you can choose not to enroll. There are penalties. Example: if you don’t have a drug plan with coverage “as good as” Part D (also referred to as creditable coverage), and decide NOT to sign up for a Part D plan, there is a 1% penalty per month of delay and you may have to wait until annual open enrollment to sign up.
VERY IMPORTANT
- If you have drug coverage through a retiree plan or an employer sponsored plan from your current employment or your spouse’s current employment, check with the plan and ask if coverage is creditable.
Note - If you have drug coverage through a retiree plan or an employer sponsored plan from your current employment or your spouse’s current employment, check with the plan and ask if coverage is creditable.