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Yes, it is very confusing. My answer is greatly simplified for ease of understanding. You'll want to visit a local independent agent for details. Part A is hospital coverage. When you use the medical services you have a $992 deductible in 2007 then you pay 20% of the allowable charges. Part A is free for most people and given to you automatically when you turn 65. Part B is doctor coverage. It has a $131 deductible in 2007 then you pay 20% of the allowable charges. Part B cost in 2007 for most people is $93.50 per month. This is given to you automatically but you can decline. The main reason to decline is you've got coverage elsewhere. The agent will help guide you there but in most cases you won't want to decline. Part C is the Medicare Advantage plans. There are three types; HMO, PPO, and PFFS (private fee for service). You must have both part A and part B to get on a plan. The Aetna HMO you spoke about is a Medicare Advantage plan. You have a time period of 7 months: 3 months prior to your 65th birth month, your birth month, and 3 months after your birth month to sign up on a plan. If you don't sign up when first eligible there are restrictions as to when you can sign up. These plans are county specific so you'll need to sign up in CO if you are living there when you turn 65. After your move you'll need to sign up with a different plan on the east coast. These plans pay the part A & B deductibles and the 20% for you. You have co-payments when you use the service. These plans have more benefits than just being on original medicare because the plans can administer the plan more cost effectively than the government can. You do not have to sign up for part C if you are OK with the deductibles and the 20% of part A & B. Part D is the prescription drug plan. You must have either part A or part B to sign up with one. You also have the same time period as you do with part C. You do not have to sign up but there are restrictions and penalties if you don't sign up when first eligible. Part D has a $265 deductible in 2007. There is also a "donut hole" where you don't have coverage. The agent can give you more details. Many of the part C plans have part D included. The part C plans and many of the part D stand-alone plans will pay the deductible. Make sure that any medication you are taking is on the formulary of any plan that you get on, the agent can guide you. You can elect to get a Medicare Supplement instead of the Part C Medicare Advantage plan. The premium for these plans are higher but you don't have any co-pays so these plans are better for people that are sick and use the medical services frequently. You must have both part A & B to get on a plan. No supplement has part D so you will need a stand-alone part D plan if you get on these plans.

Source(s)

Independent Agent

by Zarnev

2 years ago

Asker's Rating: 

en ... I'd look at this web site. It breaks down everything. It's really confusing, Wikipedia offers really good resources for this sort of thing.

by PersonalImprov- 2 years ago

My mother is only on Medicare and they pay 80% of her hospital and clinic bills. She recently signed up for the new prescription plan and has deductible for that. I guess a medicalre supplement all depends on your health. My mother is very healthy for her age over 80 and doesn't require seeing the doctor so medicare alone works for her.

by C C- 2 years ago

You need to talk to a licensed agent. Unfortunately you should talk to one where you WILL live. When people turn 65, they become eligible for Medicare (Parts A & B). Each part covers different facets of health care and leave plenty of Gaps in coverage. There are Medigap policies which fill in SOME of the gaps left by Medicare Parts A & B. There is also part D (Prescription Drugs) and Part C which in some sense, works as a subcontractor to Medicare (Parts A & B). Each state and even each county offer differing Part C plans (through private insurance companies). Go talk to a local agent (even in CO) and have him/her explain your options - expect this to take a while. Good Luck *

by insuranceguytx- 2 years ago

Are you still working? And I am assuming for Social Security Retirement your earnings are over the earnings limit for you to start receiving retirement benefits. If you are still working and earning are over the earns test ($12,960 for 2007 or $1,080 a month) - You can file for Medicare Part B only. Part A is free if you paid into Medicare taxes. Current premium for Part B is $93.60. Since you won't be filing for retirement benefits yet, you will receive a bill (quarterly) from Medicare. Next year your possible full retirement age year - you can file for your benefits. Because you will be receiving benefits your premium will be deducted from your monthly benefits. You can opt not to enroll in Medicare Part B if your employer will still cover you under their Group Health Insrance, and only they can tell you if they will. When you stop working and your employers health coverage will no longer carry you, you have eight months (8) to enroll with Medicare under a Special Enrollment period. Oh by the way, what about Medicare Part D - prescription drug plan - you will be eligible for this plan if you have Medicare. Contact your local pharmacy - most of them participate in the Part D plan. Good luck.

by Merli- 2 years ago