Medicare Details
Medicare Information
Original Medicare consists of Part A (Hospital Insurance) and Part B (Medical Insurance). Part D (prescription drug coverage) is optional. You can also choose a Medigap policy to help cover out-of-pocket costs. Or, you can select a Medicare Advantage plan, also called Part C, to provide Part A and Part B healthcare coverage. Many Medicare Advantage plans also include dental and vision care, as well as Part D coverage.
How Much Does Medicare Cost?
Original Medicare coverage costs include a monthly premium plus a portion of the costs when you get a covered healthcare service. There are no limits on how much money you may spend out of pocket unless you choose to join a Medicare Advantage plan (Part C) or have a Medicare Supplement policy, or Medicgap plan in place.
If you choose not to sign up for Medicare coverage during your initial enrollment period when you turn 65, you may pay a penalty later on.
How Much Does Part A Cost?
Most people don’t pay a premium for Original Medicare Part A. If you must pay for Part A Medicare coverage, your premiums depend on how long you paid Medicare taxes.
When you’re admitted to the hospital, you’ll pay a Part A deductible before Original Medicare benefits kick in. You’ll also pay copayments for inpatient stays.
How Much Does Part B Cost?
Most people must pay a monthly premium for Original Medicare Part B (medical insurance). The premium can change each year. And is based on your priors years work history and household income. As a result there can be some fine tuning to maximize your potential Part B costs.
If you receive covered services, you’ll pay a deductible before Medicare starts covering your healthcare costs. You’ll also pay 20% of the cost of each Medicare-covered service after you’ve paid the deductible.
Medicare Advantage Plans
Medicare Advantage Plans (Part C) provide Part A and Part B benefits. There are thousands of Medicare Advantage plans available to Original Medicare recipients nationwide. In Washington state there are currently 126 Medicare-approved plans. Medicare Advantage plans are organized by type:
- Health Maintenance Organization (HMO) plan
- HMO Point-of-Service (HMOPOS) plan
- Medical Savings Account (MSA) plan
- Preferred Provider Organization (PPO) plan
- Private Fee-for-Service (PFFS) plan
- Special Needs Plan (SNP)
- Dual Eligible (DSNP)
- Chronic (C-SNP)
- Institutional (I-SNP)
The exact Medicare Advantage plan you can access depends on the plan types offered in the county where you live. With all the constant changes that occur every year, working with an experienced agent in your area is a crucial piece to choosing the best Medicare Advantage plan t0 meet your specific healthcare needs.
How Many Medicare Supplement Plans Are There?
Insurance companies sell standardized Medicare supplement insurance, also called Medigap plans, labeled as plans A, C, D, F, G, High G, K and N. Plan F is no longer available as an option, unless you were eligible to enroll in Original Medicare before January 1, 2020.
How To Choose the Right Medicare Options
When it’s time to enroll in Medicare, contact the agents at Vanmar Insurance in Yakima, Washington. We can help you evaluate your options and get the best possible coverage for the healthcare you need, just as we have for 30 years!