Chapter 1 - Medicare Part A and Part B Explained

PART A

Part A mainly covers hospitalisation, but it does cover other services such as home health and skilled nursing. Part A generally has no premium because most citizens (or their spouses) have Medicare deducted from their payroll taxes while working. If you work ten years or 40 quarters, Part A is $0.00.

Part A has a hospitalisation deductible of $1,484.00 per year. This number can change from year to year. If you spend more than 60 days in the hospital, days 61-90 will cost $371.00 per day. Days 91+, $742.00 per day. You have 60 life-term reserve days.

• Inpatient care in a hospital

• Skilled nursing facility care

• Inpatient care in a skilled nursing facility (excludes custodial or long-term care)

PART B

Part B mainly covers doctor visits, but it also includes other services such as:

• Clinical research

• Ambulance services

• Durable medical equipment (DME)

• Mental Health

• Limited outpatient prescription drugs

In 2021 that Part B premium is $148.50 per month. If your income is higher than

$87,000 if single and over $174,000 if married, you will pay more. The lookback period is two years. In 2021 the Medicare Part B deductible was $203.00 annually. This number can change from year to year.

PART D Drug Coverage:

This coverage can either be purchased as a stand-alone coverage if you have original

You or Medicare can get drug coverage through a Medicare Advantage Plan (the PD in

MAPD stands for drug coverage.) The enrollment periods for drug coverage are generally the same as for Medicare Advantage plans, with the exception of OEP.