Medicare is a federal health insurance program designed to help people aged 65 and older, as well as certain younger individuals with disabilities. It’s divided into different parts, with each one covering different areas of healthcare:
- Hospital Stays
- Outpatient Services
- Prescription drugs
Sounds simple, right? Well, it can get a little complicated – but don’t worry, we’ll break it all down.
Here is the reality: Most retirees no longer have employer-sponsored health insurance, and overnight, affordable health coverage becomes a major challenge to find. Usually, private health insurance for retirees is expensive and leaves them vulnerable. That is where Medicare comes in: it provides you with a safety net so that you can get much-needed healthcare, even though you have left employment.
Now, the less-than-easy part—understanding Medicare. You probably have heard the term thrown around, but what does it really mean? What do the different parts cover? What if you need prescription drugs, or end up in the hospital? If you do not pay attention, you might miss your enrollment deadlines or wind up with penalties that cost big. Responses to these questions stare at me right in the face, and you don’t want to be at a disadvantage during the time of enrollment.
Okay, so how exactly does Medicare work? Here is a quick rundown of it.
• Part A Medicare covers the costs of hospital stays and part of the expenses incurred for skilled nursing care.
• Medicare Part B premiums help pay doctor visits, outpatient care, and some preventive services.
• Medicare Part D covers your prescription drugs.
• You may also want to consider Part C, Medicare Advantage, which packages Parts A, B, and often Part D into one plan, generally with some added benefits, like dental and vision.
• Conversely you may want to consider a Supplement or Medigap Plan to help with the out of pocket costs with original Medicare part A and B.
Still confused? That’s OK. Medicare can be a complex system, but it’s designed in a way to protect your health and finances as you age. The good news is, you don’t have to figure it all out on your own.
Want to Learn More? I have an entire library of answers to all your Medicare questions right here on this website. But if you have something more personal or specific you need help with, feel free to text me at 404-225-6331 or email me at sarah@tis-ga.com. I’m here to help you through this process and assure that you’re making the best choices for your healthcare. And if you want part two, just wait till my next video where I go into far more detail about all things Medicare.
