Medicare Overview

Powerful Essays
Topics: Insurance
Medicare Overview

This paper is an overview of the Medicare system and how it works. The document is intended

for adults who will be applying for Medicare benefits at the present time, or sometime in the near

future. I know that Medicare can be very confusing to most especially to those of you who are

just aging into Medicare. Truth be told Medicare can still be very difficult to understand for

those of you who are past 70, and have been on Medicare for a while. Hopefully by the end of

this document you will understand some of the Medicare basics. For example, the difference

between the different parts that make up the system A, B, D, F, G, and N. You will also have a

working knowledge of the different aging
…show more content…
What this means essentially is that you have aged

into Medicare and should you choose, you have the option to enroll in Medicare. This is the 6

months that no insurance company is allowed to ask you any medical questions, and you are

guaranteed issuance of a policy with any company that you choose. I caution all of my

prospective clients to choose a company wisely because if you have any medical issues the

company that you choose today may be the company that you have for the rest of your life. Lots

of seniors have the misconception that no more pre-existing conditions will allow them to change

insurance providers from year to year. Currently this is not so, you had your 6 months when

insurance providers could not ask you any health questions. If you find that you are sustaining

some higher than average yearly rate increases than you anticipated and you would like to

change insurance providers in 3 or 4 years, then those providers have the right to ask qualifying

health questions.

The different parts of Medicare consist of the following: Part A is hospitalization, which is
…show more content…
Part A provides for 80% of any

hospitalizations that you may require. Next, part B is also a benefit from the government

provided you or your spouse has worked 60 quarters; however there is a premium that you must

pay based on the money that you have earned over the 60 quarters worked. The median premium

that most seniors pay monthly is, $104.90; however, that is determined each year by the

government. In 2013, the premium was $104.50; this does fluctuate from year to year. The only

reason you would not pay this median premium is if you were considered one of the “1%er’s,”

and made an exorbitant amount of money over your lifetime, and then your premium would be

based on your income. Part B pays 80% of your doctor’s charges such as office visits, lab work,

x-rays, or any other Medicare approved procedure the doctor orders or preforms on an outpatient

basis.

Next I will explain the 3 most popular plans for traditional Medicare supplemental plans,

sometimes referred to as Medi-Gap plans. The benefits for all of these plans are mandated by the

government so that it does not matter which company you choose as your provider, the

You May Also Find These Documents Helpful

  • Best Essays

    Medicare and Medicaid: An Overview It is important that we all understand the basics of the Medicare and Medicaid programs as we will all eventually come of age where it is necessary to seek their assistance. The purpose of this paper is to give a brief history of how the program came about, the various plans for each program, issues that affect cost and access to the programs, how the political arena is affected and finally a conclusion with final thoughts on the total information. The idea…

    • 2781 Words
    • 12 Pages
    Best Essays
  • Powerful Essays

    Medicare

    • 5354 Words
    • 22 Pages

    Medicare: Past, Present, and Future The History of Medical Insurance The idea for a national health plan was not something considered to be a priority of American government prior to the 1940’s. President Harry S. Truman was the first president to push the issue to the United States Congress in 1945. Truman called for the creation of a national health insurance plan that would be aviailable to all Americans. He envisioned coverage for hospital visits, dental care, nursing care, and doctor’s visits…

    • 5354 Words
    • 22 Pages
    Powerful Essays
  • Good Essays

    Medicare

    • 342 Words
    • 2 Pages

    MEDICARE Prior to 1965, it was almost impossible for people 65 years and older to get a private health insurance. Medicare was enacted in 1965 to counter the growing health care costs and provide access to the elderly, making health care a universal right for all Americans 65 years and older. (Medicare & You, 2013) The rapid growth in the baby boomers population that began in 2011 caused a burden on the government by adding to the already high deficits. Medicare enrollment is expected to double…

    • 342 Words
    • 2 Pages
    Good Essays
  • Satisfactory Essays

    Medicare

    • 407 Words
    • 2 Pages

    and Selection Stephanie Bennett HCS/455 December 28, 2012 Jonathan Bibb Medicare Medicare is a federal insurance program that was created to aid the elderly with their medical bills. The Medicare program was created 40 years ago. The original benefits under Medicare did not include drug coverage. Medicare has since added drug coverage to bridge the gap under the original available benefits. The Medicare program is facing serious financial challenges. The projected expense for medical…

    • 407 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Medicare Comparison

    • 601 Words
    • 3 Pages

    Medicare and Medicaid There are various types of insurances in today's world. Two of them being Medicare and Medicaid. Founded in 1965 as part of President Lyndon Johnson's "Great Society", they share differences and few similarities. They are social insurance programs that allow the financial burdens of illness to be shared among health and sick individuals, and affluent and low income families. Medicare is a federal program that provides health coverage if yon are 65 years or older, are a younger…

    • 601 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    Medicare Observation

    • 255 Words
    • 2 Pages

    the Medicare rule for observation is very complex and confusing. The intention of the rule is to set clinical criteria for observation, and rapidly discharge the patient in twenty-four hours. However, this does not always happen. Some observation patients can stay up to ninety-six hours before being discharged or switched to observation status. One of the problems is individual health care organization interprets the Medicare rule differently. Then if the patient had a managed care Medicare carrier…

    • 255 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Medicare and Ssi

    • 887 Words
    • 4 Pages

    original Social Security mandate was also expanded to include Medicare and Medicaid (Advance).” Some other changes more recently have added more benefits to this well known plan. “The most significant legislative change to Medicare--called the Medicare Modernization Act or MMA--was signed into law by another President from Texas, George W. Bush, on December 8, 2003. This historic legislation adds an outpatient prescription drug benefit to Medicare and makes many other important changes (Cms).” With the…

    • 887 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Maintain Medicare

    • 362 Words
    • 2 Pages

    obtain Medicare is very comforting. Medicare is a federal health care program that was put in place by Congress in 1965 to provide health insurance to Americans sixty-five and above. Medicare was then expanded in 1972 to also cover younger individuals who are disabled (Kaiser, 2012). Traditional Medicare provides coverage to all Americans sixty-five and older without taking into account income. Prior to Medicare a whopping fifty percent of seniors lacked health coverage (Center for Medicare Advocacy…

    • 362 Words
    • 2 Pages
    Good Essays
  • Better Essays

    Medicare Modernization

    • 1143 Words
    • 5 Pages

    December 8, 2003, President Bush signed into existence the Medicare Prescription Drug, Improvement, and Modernization Act (CMS, 2003). This Act over the years is intended to provide prescription drug benefits to seniors. It will also provide subsidies to insurance companies, health maintenance organizations, and would allow private plans to compete with Medicare (CMS, 2003). Why were changes to Medicare deemed necessary? The changes to Medicare where deemed necessary, because many seniors and elderly…

    • 1143 Words
    • 5 Pages
    Better Essays
  • Best Essays

    Medicare and Medicaid

    • 3491 Words
    • 14 Pages

    Introduction 3 II. About Medicare 4 III. About Medicaid 5 III. Fraud & Abuse of Medicare 7 IV. Fraud & Abuse of Medicaid 8 V. Prevention Program Methods/Reform for Medicare & Medicaid 9 VI. Conclusion 12 References 13 Executive Summary With the ever-changing difficulties of our health insurance landscape, the government has taken a more active role in the health care and well-being of American citizens. With this shift, programs like Medicare and Medicaid, become polarizing…

    • 3491 Words
    • 14 Pages
    Best Essays