Medicare is a medical insurance program that facilitates people above 65 years of age. A person becomes eligible by making regular payments, called premium, for a specific time period. Younger people can also be included to beneficiaries provided that they are suffering from terminal diseases. The insurance does not cover full medical expenses. As per Medicare Trustees Report 2016, Medicare covers around 57 million people all across the United States.
Following are some lesser-known facts that can help you benefit from Medicare insurance:
The idea of a national health insurance system was proposed by President Theodore Roosevelt in 1912. The idea became a reality in 1965 and was signed by President Lyndon B. Johnson. President Harry S. Truman was the first person to get enrolled in the program.
2. Medicare Has 4 Components:
Medicare has 4 parts to categorize benefits. Part A covers hospital expenses. Part B covers expenses required for medical care at home and also includes the purchase of essential medical equipment. Part C or Medicare Advantage is offered by private sectors and includes additional benefits, whereas Part D is an optional phase for prescribed drug coverage.
3. No Dental or Vision Coverage:
Medicare does not include expenses of dental and sight-related issues. Moreover, you need to arrange the amount on your own in order to pay for hearing aids. Part A and B are referred to as Original Medicare. Part C or D may support dental, vision, and hearing expenses as per the conditions of the private company.
4. Medicare Coverage is Necessary:
If you fail to participate in Medicare upon qualifying for the first time, you have to pay penalties. During part B, a 10% increase for 12 months must be paid additionally with premium amount. Similarly in Part D, the number of years you were not enrolled is multiplied by national base beneficiary factor and is added to current premium.
5. Shortfall of Funds:
A major concern about Medicare is that the funds may fall short in a few years. As a result, the insurance policy may not be able to cover expenses of all enrollees. By 2028, the funds will cover 87% of Part A expenses whereas the taxes will provide the rest of the amount.
6. Blood Expenses Are Excluded:
Medicare does not cover all expenses for people above 65 years of age. For instance, you have to arrange blood and pay for it on your own. Other factors that are not included are extended hospital stay, extended nursing, foreign emergency care, and 20% costs of hospital care.
7. Medicare is Not Accepted Everywhere:
Medicare is not accepted by every doctor. Therefore, it is recommended to visit the official website to decide which doctor you should visit.
8. Switching Options:
Medicare allows enrollees to switch their insurance every year during a few time periods. A time frame is specified during which people can switch their options. You can make the decision according to your healthcare needs.
Barich & Associates Insurance Marketing Services Inc. helps you find the most suitable Medicare plan. It is a professional company facilitating people in finding the policy that can save them money. They can utilize their policy in a more efficient way by consulting the experts.