You may have noticed that Medicare health insurance (Link to “A Guide to Medicare Insurance Plans”) is different from other private health insurance that you have had before. And these plans most likely included prescription and medical coverage altogether. And in case you had health insurance through work, you had dental and vision coverage. Here’s a list of few points that may help you discover the difference between Medicare and private health insurance:
Medicare is run by the federal government
Group health insurance plans are provided by private companies. Medicare is a program by the federal government run by the Centers for Medicare & Medicaid Services (CMS) and provides basic health care coverage. It consists of Part A and Part B. Part A provides for inpatient nursing care and hospital care and Part B provides for outpatient care and doctor visits.
Medicare is for people with disabilities and those of age 65 and above
Unlike other plans of insurance that cover people of different ages, Medicare is only for seniors who are aged 65 years and above and for people with disabilities. If you plan to work past the age of 65 and already possess insurance through your job, then you can keep your health plan through your union or employer. In case you delay enrollment in Medicare, make sure you are well versed with the rules that can help you avoid penalties.
Medicare does not cover for most prescription drugs
You are required to have a Medicare prescription drug coverage plan as Medicare program does not cover for a majority of drugs. Part B covers drugs that are given to you at an outpatient hospital or doctor’s office. Thus, you are required to sign up for a prescription drug plan that cover for your drugs. This becomes a part of the Part D plan of Medicare.