Question: This is a whole new world to me, as I’m stepping in to help take care of my stepdad, who just had a debilitating stroke. Is there an easy way to explain the differences between the different “parts” of Medicare?
Answer: Let’s take a look at the various components of Medicare:
Part A (hospital insurance)
Helps cover:
- Inpatient care in hospitals
- Skilled nursing facility care
- Hospice care
- Home health care
Part B (medical insurance)
Helps cover:
- Services from doctors and other health care providers
- Outpatient care
- Home health care
- Durable medical equipment (like wheelchairs, walkers, hospital beds and other equipment)
- Many preventive services (like screenings, vaccines and yearly “wellness” visits)
Medicare Advantage (also known as Part C)
Medicare Advantage is a Medicare-approved plan from a private company that offers an alternative to Original Medicare for your health and drug coverage. These “bundled” plans include Part A, Part B and usually Part D.
In most cases, you’ll need to use doctors who are in the plan’s network. Plans may have lower out-of-pocket costs than Original Medicare, and plans may offer some extra benefits that Original Medicare doesn’t cover, like vision, hearing and dental services.
Part D (drug coverage)
Part D helps cover the cost of prescription drugs (including many recommended shots or vaccines). You join a Medicare drug plan in addition to Original Medicare, or you get it by joining a Medicare Advantage Plan with drug coverage. Plans that offer Medicare drug coverage are run by private insurance companies that follow rules set by Medicare.
Medicare Supplemental Insurance (Medigap)
This is extra insurance you can buy from a private company that helps pay your share of costs in Original Medicare. Policies are standardized and in most states named by letters, like Plan G or Plan K. The benefits in each lettered plan are the same, no matter which insurance company sells it.
