How does Original Medicare work?

Medicare is the nation’s health insurance program for people aged 65 or older. Those younger than age 65 can qualify for Medicare too, including those with disabilities and those who have permanent kidney failure.

OGM helps with the cost of health care, but it does not cover all medical expenses or the cost of most long-term care. You have choices for how you get Medicare coverage. If you choose to have Original Medicare (Part A and Part B) coverage, you can buy a Medicare Supplement Insurance (Medigap) policy from a private insurance company.

• Medicare Part A helps pay for inpatient care in a hospital or limited time at a skilled nursing facility following a hospital stay). Part A also pays for some home health care and hospice care.
• Medicare Part B helps pay for services from doctors and other health care providers, including outpatient care, home health care, durable medical equipment, and some preventive services.

Other parts of Medicare are run by private insurance companies that follow rules set by Medicare, known as Medicare Advantage (MA).

• Supplemental (Medigap) policies help pay Medicare out-of-pocket copayment, coinsurance, and deductible expenses.
• MA Plans (previously known as Part C) include all services covered under Part A and Part B, as well as prescription drugs and additional benefits bundled into one plan. Additional benefits would include vision, hearing, and dental.
• Medicare Part D (Medicare prescription drug coverage) helps cover the cost of prescription drugs.