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Medicare

Understanding Original Medicare

Medicare is made up of four parts. Knowing which parts apply to you is the first step toward building the right plan.

Part A — Hospital Coverage

Covers inpatient hospital stays, skilled nursing care, hospice, and some home health care. Most people pay no monthly premium if they've worked 40+ quarters.

Part B — Medical Coverage

Covers outpatient services — doctor visits, specialists, surgeries, lab work, and preventive care. There's a monthly premium and an annual deductible, then Medicare pays 80% and you pay 20%.

Part C — Medicare Advantage

An alternative to Original Medicare offered by private insurers. Typically HMO or PPO network plans that bundle hospital, medical, and often drug coverage into one plan.

Part D — Prescription Drugs

Prescription drug coverage available as a standalone plan or bundled with Medicare Advantage. Required to avoid late enrollment penalties when you join Medicare.

How the Parts Work Together

When you first enroll in Medicare, you'll use either Parts A + B + D (Original Medicare with a drug plan, often paired with a Supplement) or Part C (Medicare Advantage, which replaces A and B). You won't use both at the same time.

With Original Medicare, you're responsible for the 20% that Part B doesn't cover — which can add up quickly with lengthy hospital stays or expensive treatments. That's where Medicare Supplement (Medigap) plans come in.

The Part A Cost Structure

Most people pay $0 per month for Part A if they worked and paid Medicare taxes for at least 10 years (40 quarters). If you do need inpatient care, there's a significant per-benefit-period deductible. After that deductible is met, you're covered for the first 60 days with no additional cost sharing.

The Part B Cost Structure

Part B has a standard monthly premium (adjusted annually by Medicare) that is typically deducted directly from your Social Security check. There is also an annual deductible. Once met, Medicare pays 80% of approved costs and you are responsible for the remaining 20% — with no cap on out-of-pocket spending unless you have a supplement.

The 20% gap is why most people pair Original Medicare with either a Supplement plan or a Medicare Advantage plan. Without one, there's no limit to what you could owe out-of-pocket each year.

What's Your Next Step?

Now that you understand the foundation, explore your two main coverage paths below. We'll walk you through the pros, cons, and costs of each — at no charge.

Original Medicare + Supplement

Keep your freedom to see any doctor nationwide and fill the 20% gap with a Medigap policy. Add a standalone Part D drug plan to complete your coverage.

Explore Supplements →

Medicare Advantage (Part C)

Bundle everything into one plan through a private insurer. Often lower premiums, but uses provider networks. May include dental, vision, and drug coverage.

Explore Advantage →

Not Sure Which Path Is Right for You?

We'll compare both options side-by-side based on your doctors, medications, and budget — at no cost.

Schedule a No-Cost Review →