Medicare 101:

Understanding the Basics

Medicare can be confusing at first—but once you understand how it works, everything else falls into place. The key is to start with Original Medicare, which is made up of Part A and Part B. These two parts come directly from the government and form the foundation of your coverage. Everything else—like drug coverage, Medicare Advantage, or supplement plans—builds on top of them.

🧩 What Is Medicare Part A?

Part A is your hospital insurance. It helps cover:

  • Inpatient hospital stays

  • Skilled nursing facility care

  • Hospice care

  • Limited home health care

Most people don’t have to pay a monthly premium for Part A if they or their spouse worked and paid Medicare taxes for at least 10 years.

🩺 What Is Medicare Part B?

Part B is your medical insurance. It helps pay for:

  • Doctor visits and specialist care

  • Outpatient services

  • Lab tests, X-rays, and imaging

  • Physical and occupational therapy

  • Durable medical equipment (like wheelchairs, oxygen, walkers)

  • Ambulance services

Part B does have a monthly premium. It works alongside Part A to help cover most of your day-to-day healthcare needs.

🚫 What Original Medicare Doesn’t Cover

Original Medicare doesn’t cover everything. Here are some of the gaps:

  • Prescription drugs (you'll need a Part D plan for that)

  • Dental, vision, and hearing

  • Long-term or custodial care

  • Routine physicals after your first year

  • Most care received outside the U.S.

That’s why many people choose to add extra coverage like Medicare Advantage or a Medigap plan.

The information provided on this website is intended to help you better understand your Medicare choices. While it is based on publicly available sources such as Medicare.gov and the Centers for Medicare & Medicaid Services (CMS), this content has been created by Peterson Insurance Solutions, operating under the brand Faithfully Planned. We are not affiliated with or endorsed by the federal government or the Medicare program. For personalized advice, please consult official resources or speak directly with a licensed insurance agent.