YOUR MEDICARE OPTIONS

Step 1

Decide how you want to get your coverage

Original Medicare

Part A
Hospital Insurance

Part B
Medical Insurance

  • Hospital stays
  • Skilled nursing facility
  • Hospice care
  • Some home health care

Once you turn 65, you’re automatically enrolled in Medicare Part A. Most people don’t have to pay a premium for Part A because they, or their spouse, paid Medicare taxes while working.

  • Medical service
  • Outpatient care
  • Medical items

Medicare pays: 80% of approved charges
Beneficiary Pays: about 20% of approved charges

Part B is optional because you have to pay a monthly premium and satisfy a deductible before Medicare will pay benefits.

Medicare Advantage Plan

Part C
Medicare Advantage Plan


Part A
(Hospital)

+


Part B
(Medical)

+


Part D
(Prescription)

  • Combines Part A and Part B in one plan
  • Often also include Part D (prescription drug coverage)

These plans are part of the government’s Medicare program, but are offered and managed through private insurers and may offer plan extras not found in Original Medicare. You must be enrolled in Medicare Parts A and B to join.

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Step 2

Decide if you need to add supplemental coverage
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Medicare Supplement Insurance


Part A
(Hospital)

+


Part B
(Medical)

+

20%

Med Supp

  • Helps pay costs (copays, coinsurance and deductibles) that Original Medicare doesn’t cover
  • Only works with Original Medicare
  • Medicare Supplement insurance cannot be used with Medicare Advantage plans, but can be used with Prescription Drug plans

A Medicare Supplement policy (also known as a Medigap policy) is private health insurance that supplements Original Medicare. It helps pay about 20% of the Medicare expenses that Original Medicare doesn't cover.

Learn more about Medicare Supplement Insurance Plans

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Step 3

Decide if you need to add drug coverage
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Part D
Prescription Drug Coverage

  • Help lower prescription drug cost
  • All plans must offer at least a standard level of coverage set by Medicare
  • Some Medicare Advantage plans offer built-in prescription drug coverage

Part D plans are part of the government’s Medicare program, but they’re offered and managed through approved private insurers.