Understanding Medicare doesn’t have to be overwhelming. Diana Scothorn from The Benefit Link breaks down the 4 parts of Medicare in a simple way. If you’re new to Medicare—or just need a refresher—this is for you.
Medicare Part A – Hospital Insurance
Part A covers inpatient hospital care, skilled nursing facilities, hospice, and some home health care. If Medicare is your primary coverage, every time you’re admitted to a hospital, it will be billed under Part A.
Think of Part A as your room and board while you’re hospitalized.
Medicare Part B – Medical Insurance
Part B handles outpatient services like doctor visits, lab tests, physical therapy, and preventive care.
Medicare Part B pays 80% of what Medicare approves, not 80% of your total bill. That’s an important distinction many people miss. The remaining 20% is your responsibility—unless you have a Medigap (Medicare Supplement) plan to help with those costs. These plans supplement the gaps that Part A and Part B do not cover.
Medicare Part C – Medicare Advantage Plans
Part C, also known as Medicare Advantage, is where things can get confusing. These plans are offered by private insurance companies like HMOs or PPOs and replace Original Medicare as your primary coverage.
🛑 Important to know:
Medicare Advantage plans do not provide additional benefits beyond what Medicare covers. In fact, they are only required to provide equal to—or sometimes less than—Original Medicare.
That’s why some people refer to these as “Medicare Disadvantage” plans. It’s crucial to understand the trade-offs—especially when it comes to referrals, networks, and treatment delays.
Medicare Part D – Prescription Drug Coverage
Part D is your Prescription Drug Plan (PDP). Private insurers also offer these plans, but they must meet Medicare’s coverage requirements.
All your prescription drug costs are billed through Part D, and plans vary depending on your medications and preferred pharmacies.
Knowing the difference between the 4 parts of Medicare (A, B, C, and D) is essential when choosing the right Medicare coverage.▶️ Watch the full video here! Like the video and follow us for more real answers on Medicare, retirement, and protecting your health.
