Asset Planning, Inc Blog

The latest from the team.

Understanding Medicare


Medicare seems like a simple concept but just like social security, there are many rules and details that you should understand. First of all, the best place to go for answer is:  The website is very informative and where I go to if I need to research a Medicare question.

The major components of Medicare are Part A, B, C and D. Parts A, B and D combined are comparable to a PPO insurance plan while Part C is comparable to a HMO plan. You must sign up at age 65 to avoid a penalty but if you can prove that you were covered elsewhere the penalty is waived.

Part A is Hospital Insurance. It is designed to help cover the cost of your care in a hospital, rehab facility, and home health care for a limited period of 100 days per benefit period. There is no premium cost for Part A but there is a $1,288 deductible per year.

Part B is Medical Insurance. It covers doctor services, preventive and outpatient care. The premium cost for new enrollees is $121.80/month and your co-payment is normally 20% of the expenses incurred. The premium is deducted from your social security check but if you delay starting social security you must pay the premium directly to Medicare.

Part D is Prescription Drug coverage. This covers prescription drugs. This coverage is provided by an insurer that is approved by Medicare. To avoid a late penalty you should also sign up for this at the same time as part A & B. You can change the coverage in later years if the coverage is not enough.

Part C is medical insurance offered by private insurers. It is also known as Medicare Advantage. This is offered by HMO type insurers like Kaiser. Medicare deducts the cost of the insurance from your social security check and pays the insurer (e.g., Kaiser) for your benefit. Prescription drug coverage is normally covered as part of this plan too.

Next time, I will discuss medi-gap policies and Medicare premium amounts and what causes them to increase or decrease.

Continue reading
  1050 Hits
1050 Hits

Search Blogs Module

Wait a minute, while we are rendering the calendar
phishing sites home mortgages chip-enabled EMV cards coronavirus jury duty Medicare Fox News story TD Ameritrade Legal robocalls estate 2017 TD Ameritrade National LINC Conference Joey Gonzales DNA test kits Kraig Mathias ID card phishing scams executive order home emergency kit Notary Public Charles Schwab 900 number assets stock pile health care services Economic Security team members scams interest years media accounts check lists information Amazon October 1 2020. opt-out Medicare plan Treasury Department pet industry tax deadline flash drive banking investment statements vision screening https :// CFP ® gap insurance D premiums Expired medications clients Two-Step Verification Wells Fargo employees life saver retirement accounts parking spots breach increase trust family members retirement July 3 rd documents estate planning pet supplies clone counterfeits Affordable Care Act Orange County money Ice Cream Social company 20 year anniversary home security FEMA website markets Social Security Administration September 9 Wells Fargo customers Medicare Part B disaster areas memorial Day weekend wells Fargo people medications phone ice cream event COVID -19 virus email notifications September 8 January 10 items earthquake app spread Mobile Banking Security Tips checklists credit card company operations manager FSA cell phone provider cell phone service provider birth certificates integral member web address house sitter Independence Day home emergency kit self-help topics Orange County Superior Court bottom line Labor Day Brexit vote information Facebook CARES Act interest rates California Lions Friends account numbers Medicare question news coverage Asset Planning driver license spring cleaning tax deadlines cell phone SIM swap scam debt Federal Trade Commission website Roth IRA business hours estate planning direction settlement options stimulus package records July 6 April 18 2017. VOIP landline phones donation items blog post insurance policy prescription eyeglasses credit cards identity thieves Healthcare tax returns home break-ins Financial Planning Magazine trustee Open House borrowing money Puerto Rico drive /usb IRA accounts car loans paper records holidays approach National Ice Cream month retirement planning June 29 fees pets card reader Part B 401K CERTIFIED FINANCIAL PLANNER exam portal tax filing deadlines privacy notices summer retirement plans identity theft rescue organizations phone companies official certification credit card fraud July 4 Shred paperwork credit monitoring service credit freeze notary services tax season September 30 2020. credit score market turmoil policy Medicare Advantage toilet paper April 11 April 15 donation counts offering insurance water … 2017 IRA contributions pet donation drive Erin Nelsen vacation app 23 andme Supplemental Security Income Open Enrollment ice cream Facebook profile insurance policies contribution limit fun atmosphere Kiplinger Letter February 14 spam phone health care costs 70 1/2. Flexible Spending Account cell phones earnings fallout emergency kits illiegal robocallers consumer spending July weekend “ skimmer ”. Auto insurance 4 pm -8pm cell phone carriers offer CA FTB tax records 2018 IRA contributions IRS deadline home emergency preparedness kits Victor Dergunov IRS hurricane Dorian partner /owner asset Planning payments EEChecklist-Kits.pdf stockpilingchecklist.pdf paperwork clutter student loans non-prescripstion sunglasses president Trump cell phone carriers privacy settings pet fun facts client portal relief efforts Coronavirus Aid Part D premiums . clients show support https ://seekingalpha 2017 Equifax breach Social Security emergency folder padlock Retirement Contribution Limits text messages Medicare Part B premiums