The government has recognized that it is very important to care for its elderly citizens. For this reason Medicare health insurance was created. Any individual aged 65 and above qualify for this government health care plan. For those who are eligible, Medicare can be very puzzling because of its many parts.
Simply put, Medicare Part A covers all costs for impatient hospital care. Many of persons who pay for Medicare taxes from their paychecks automatically receive Medicare Part A for free.
Part B includes outpatient care and some doctors’ services, though it is not free of charge. Medicare Part B requires a small monthly premium.
Medicare Part C handles different options for health care such as HMOs which are approved by Medicare. Part C allows for a private insurance firm, through a government contract, to preside over all of your Medicare benefits. A Part C also requires extra costs that can vary widely.
Part D plan was created to cover prescription drugs. The plan is controlled by private firms that are Medicare-approved. It costs more money and is optional.
The primary Medicare plan was comprised of only part A and part B. Later on, the Medicare advantage plans of Parts C and part D were added with an increased cost. Because parts A and B did not pay for everything, Medicare Parts C and D had to be created.
Medicare designed Medicare advantageary plans, a type of private insurance, to ensure that all costs can be paid. Most of the costs these plans cover are co payments and deductibles that can add up very quickly for seniors with a fixed income. The advantage plans have been named “Medigap” as the plans were designed to cover the “gaps” in expenses for medical procedures that are typically excluded from Medicare.
The Medicare Advantageal Insurance plans are regulated and standardized by the US Government. You can get an additional plan through insurance and you have to choose which insurance you want by the price of your advantage plan. This is the case because every plan covers the same things – regardless of which insurance company you receive it from.
The federal government regulates Medigap and the insurance firms must comply with the state laws. Due to different laws, the plans may vary slightly from state to state.
There exist 12 different types of Medigap plans to complement the complexity of Medicare. They are labeled letters from A to L, hence it can take a long time to figure out which plan fits your needs.
Many Americans unfortunately do not enjoy health coverage. Such situation is often as a result of high insurance rates and long-term or even minor ailments which can consume the savings of an uninsured person. This results to medical bills that may never be paid. The key is to have a plan in these situations. Even with the outrageous health care costs in this country, it is important to plan properly if you need medical attention.