1   What Is Medicare?

Medicare is a federally funded program for individuals 65 years of age and older that was established by law in 1965. In 1972 Medicare was amended to additionally provide coverage to disabled people and those with renal disease in the last stages. Medicare coverage includes hospitalization, doctor visits, drugs, and other procedures.

 2   Who Is Eligible for Medicare?

Medicare covers medical expenses for:

-- Americans who are 65 years and older.
-- Americans under 65 with certain disabilities.
-- Americans with advanced kidney disease who require a transplant or dialysis.

All Americans become eligible for Medicare when they reach 65 years of age. During a seven month enrollment period, no fees are assessed for enrolling in Medicare. After the enrollment period, fees and penalties apply.

 3   What Are the Different Types of Medicare Coverage?

Medicare A: Medicare A, or Part A, offers basic coverage. The majority of people covered by Medicare do not pay a premium for this coverage, since they or a spouse paid Medicare taxes while employed.

Medicare A covers: 

-- inpatient care.
-- hospital care.
-- skilled nursing facilities.
-- hospice services.
-- home health care.

Visit the Medicare Web site at http://www.medicare.gov/Coverage/Home.asp for more information on Medicare A coverage.

Medicare B: Medicare B, or Part B, offers supplemental health coverage. It picks up coverage where Medicare A ends. Part B pays for services that have been identified as medically necessary.

Medicare B covers:

-- doctors’ services.
-- outpatient care.
-- some home health care.
-- services that Medicare A does not cover, such as occupational or physical therapy.

Visit Medicare’s Web site at http://www.medicare.gov/Coverage/Home.asp for more information on Medicare B coverage.

Medicare D: Medicare D coverage pays for prescription drugs and is available to all who are eligible for Medicare. Participants may enroll in one of many Medicare-approved private drug plans. Enrollment in Medicare D is first available three months before your 65^th birthday. The enrollment period ends three months after you turn 65. Following that, an annual enrollment period from November 15 through December 31 gives you the opportunity to change plans, if you wish. Costs for Medicare D coverage vary with each plan.

 4   What Is the Cost of Medicare A Coverage?

Most people do not pay for Medicare A coverage. If you or your spouse paid Medicare taxes while employed, you will probably not have to pay for Medicare A coverage.

 5   What Is the Cost of Medicare B Coverage?

Medicare B coverage is billed with a standard monthly premium. Most people pay this base premium rate, which usually increases annually. 

The premium you pay for Medicare B coverage will be higher than the base amount if you did not enroll in Part B coverage when first eligible at age 65. The premium may also be higher than the base premium if your income exceeds a certain level.

Coverage under Part B is optional. The initial enrollment period for Part B coverage is a seven month period that begins three months before your 65^th birthday.

To apply for Part B coverage, locate your nearest social security office at https://secure.ssa.gov/apps6z/FOLO/fo001.jsp

 6   Can I Buy Medicare A Coverage if I Do Not Qualify for the Free Medicare A Coverage?

Yes, you can purchase Medicare A coverage. You may have to pay for Medicare A coverage if you did not work, did not pay sufficient Medicare taxes while employed, or are disabled but have returned to a job.

 7   Can I Get Assistance if I Have to Pay for Medicare A or B Coverage?

Your state may have programs to assist you in paying for Medicare coverage if your income or your resources are low. Go to the government’s social security Web site at www.socialsecurity.gov for information on assistance that may be available to you.

 8   What if I Am 65 or Older, but Have Health Insurance through My Previous or Current Job?

You may choose to enroll in or decline Medicare. Or you may choose to enroll only in Medicare A coverage and save the cost of enrolling in supplemental insurance.

 9   Who Administers Coverage Under Medicare?

Often, HMOs (Health Maintenance Organizations) administer Medicare. HMOs are funded federally to administer this coverage. Administration of Medicare varies in each state.

 10   Where Can I Get More Information on Medicare?

-- Medicare Web site:  http://www.medicare.gov 
-- Medicare Information Source:  http://www.medicare.org/ 
-- U. S. Department of Health & Human Services: Centers for Medicare and Medicaid Services: http://www.cms.hhs.gov/