Medicare Plans

You should also be aware that: 1) Medicare doesn’t cover long-term care, which averages around $9,000 per month or more for a semi-private room in a nursing facility. And, 2) the average healthcare cost for a person who has reached age 65 for Medicare premiums, deductibles, co-pays, and over-the-counter items is around $175,000 per person and is increasing according to Fidelity.

There are lots of options when it comes to Medicare Supplements and Medicare Advantage plans as compared with Original Medicare. Medicare is sectioned into different parts, including Part A, Part B, Part D, and additional coverage options like Medicare Advantage (Part C) and Medigap.

• Part A (Hospital Insurance): Covers inpatient hospital stays, skilled nursing facility care, hospice care, and limited home health care. This is normally free for most people who have qualified for Medicare coverage.
• Part B (Medical Insurance): Covers doctor visits, outpatient care, home health care, and preventive services like screenings and wellness visits, along with durable medical equipment (e.g., wheelchairs). Part B coverage is the premium that will be deducted from your Social Security check if you don’t choose Medigap or Part C.

• Part D (Prescription Drug Coverage): Helps cover the cost of prescription medications, including certain vaccines. You can get Part D as a standalone plan along with Part B or as part of a Medicare Advantage Plan.
• Medicare Supplemental Insurance (Medigap): Extra coverage from private insurers to help pay for out-of-pocket costs in Original Medicare, such as copayments and coinsurance. Plans are standardized by letter (e.g., Plan G, Plan K).
• Part C (Medicare Advantage Plans): Private, Medicare-approved plans that may bundle Part A, Part B, and often Part D (prescription drug) coverages. Usually limited to providers within the plan’s network. May have different out-of-pocket costs and additional benefits not available in Original Medicare, like vision and hearing coverage.