What is Medicare?

Medicare is a federal health insurance program that is administered by the Centers for Medicare and Medicaid Services (CMS). It was established in 1965 as a way to provide health insurance coverage to Americans who are 65 years of age or older, as well as to certain younger people with disabilities and end-stage renal disease (ESRD).

There are four main parts to Medicare:

Part A: Hospital Insurance

Part A covers inpatient hospital care, as well as a skilled nursing facility, hospice, and home health care. Most people do not have to pay a premium for Part A coverage because they or their spouse paid Medicare taxes while working.

Part B: Medical Insurance

Part B covers outpatient medical care, such as doctor visits, preventive services, and durable medical equipment. It also covers some home health care and some preventive services. Most people pay a monthly premium for Part B coverage.

Part C: Medicare Advantage Plans

Part C is an alternative to Original Medicare (Parts A and B). It is offered by private insurance companies that have been approved by Medicare. Medicare Advantage Plans provide all of the benefits of Original Medicare, as well as additional benefits such as prescription drug coverage, and may also include coverage for vision, hearing, and dental services. These plans may have lower out-of-pocket costs than Original Medicare, but they may also have more limited networks of providers.

Part D: Prescription Drug Coverage

Part D is optional prescription drug coverage that can be added to Original Medicare or a Medicare Advantage Plan. It is offered by private insurance companies that have been approved by Medicare. Part D helps to cover the cost of prescription medications.

In addition to the four main parts of Medicare, there are also several other programs that are administered by CMS, including Medicaid and the Children's Health Insurance Program (CHIP).

If you are eligible for Medicare, you will receive a Medicare card in the mail. You should keep this card with you at all times, as it is your proof of coverage. You will also receive a Medicare & You handbook, which provides information about your Medicare benefits and rights.

If you are turning 65 and are not already receiving Social Security benefits, you will need to sign up for Medicare. You can do this online at www.Medicare.gov, by calling the Medicare hotline at 1-800-MEDICARE, or by visiting your local Social Security office.

If you are under 65 and have a disability, you may be eligible for Medicare. You can apply for Medicare through your local Social Security office or online at www.ssa.gov.

It is important to note that Medicare does not cover all healthcare services, and it does not cover long-term care. If you need coverage for these types of services, you may want to consider purchasing a supplemental insurance policy or a long-term care insurance policy.

Summary

Medicare is a federal health insurance program that provides coverage to Americans who are 65 years of age or older, as well as to certain younger people with disabilities and ESRD. It has four main parts – Part A, Part B, Part C, and Part D – and is administered by the Centers for Medicare and Medicaid Services. If you are eligible for Medicare, you can sign up online at www.Medicare.gov, by calling the Medicare hotline at 1-800-MEDICARE, or by visiting your local Social Security office.

If you are considering enrolling in Medicare or have questions about your coverage, we encourage you to click on the offers below to learn more and speak with a licensed insurance agent who can help you find the plan that is right for you.