Original Medicare consists of Part A hospital insurance and Part B medical insurance. Please continue reading to find out the difference between these two Medicare components.
What Is Medicare Part A?
Medicare Part A is the hospital insurance component of the Medicare program. Through Part A, millions of Americans receive coverage that helps them pay for hospital-related services. Some of the covered services include inpatient care in a hospital, skilled nursing facility care, nursing home care, and hospice care. Home health care is also covered in most situations.
While some people need to apply for Medicare Part A, others are automatically enrolled. To be automatically enrolled, you typically must be collecting Social Security benefits at the time you turn 65. In some cases, people who qualify are offered Part A benefits at no premium cost. Though, to receive premium-free Part A, you must have paid adequately into the Medicare tax system. Your status is determined by how many quarters you worked and paid taxes.
What Is Medicare Part B?
Medicare Part B is the medical insurance part of Medicare. Through Medicare Part B, Medicare beneficiaries receive coverage that helps pay for medically necessary health services as well as preventive health services. Medically necessary services include any services or supplies that are needed to diagnose or treat a medical condition, while preventive services involve health care performed to prevent illness or detect it at an early stage.
Through your Part B benefits, you can have the following covered:
- Clinical research
- Ambulance services
- Durable medical equipment
- Mental health care
- Limited outpatient prescription drugs
What’s The Difference Between Part A and Part B?
One key difference between Part A and Part B is that Part A can be acquired premium-free, while Part B cannot. You’ll always be required to pay Part B premiums to maintain coverage, but this isn’t the case for Part A.
Another core difference is that Part A provides hospital insurance while Part B offers medical insurance. The things that each part of Medicare pays for are quite different, making it easy to see the differences.
Do You Need Part A and Part B?
Some people feel they only need Part A coverage, but this may be a problem. If you delay enrollment in Part B, you could face late enrollment penalties that stack up over time. In most cases, it’s best to enroll in Part A and Part B just to avoid penalties if you change your mind about needing one of the components later.
Learn More About Medicare’s Parts
Understanding what each part of Medicare does can take time. Before it gets confusing, call Magellan Healthcare for help. We’ll answer all of your Medicare questions and help you get enrolled.
You can reach Magellan Healthcare at 866-779-3553.
