What Are the Different Parts of Medicare?

Medicare has four parts that offer coverage for different healthcare services or allow you to receive coverage in alternative or supplemental ways. Understanding how these options can and can’t be combined can help you get the right coverage to meet your healthcare goals.

Keep reading to explore the coverage options and costs for the different parts of Medicare.

On This Page

• 

  What Are the Different Parts of Medicare?

• 

  Medicare Part A (Hospital Services)

• 

  Medicare Part B (Medical Services)

• 

  Medicare Part C (Medicare Advantage)

• 

  Medicare Part D (Prescription Drugs)

• 

  Medicare Supplement Plans (Medigap)

• 

  Will Medicare Cover All of My Medical Needs?

• 

  FAQs

What Are the Different Parts of Medicare?

Medicare has different parts: Part A (hospital services), Part B (medical services), Part C (Medicare Advantage) and Part D (prescription drugs). Part A and B are collectively called Original Medicare and run by a federal agency, the Centers for Medicare and Medicaid Services (CMS). Original Medicare provides coverage for most healthcare services but has some gaps in coverage that additional options can fill in.

One option is Part C, also called Medicare Advantage, a standalone health plan offering Medicare coverage sold by private companies regulated by the Medicare program. Another is Part D, an optional addition to Original Medicare offered by private insurers, helping cover prescription drugs. Medigap (Medicare Supplemental Plan) also exists to help those on Original Medicare fill in coverage gaps for an additional cost.

Medicare Part A (Hospital Services)

See below for an overview of what Medicare Part A covers and does not cover.

What’s Covered

• Inpatient hospital care
• Skilled nursing facility care
• Hospice care
• Some home health care (e.g., physical therapy, occupational therapy services)
• Blood tests

What Isn’t Covered

• Long-term care (also called custodial care)
• Concierge care (concierge medicine, retainer-based medicine, boutique medicine or direct care)
• Non-medical care and non-skilled personal care assistance (e.g., home-delivered meals, adult day health care)

Additionally, some potential aspects of inpatient stay and hospice care also don’t receive coverage, such as:

• Private-duty nurses
• In-room televisions and phones
• Private rooms (unless deemed medically necessary)
• At-home hospice care (including nursing homes)

Part A Costs

Medicare Part A has no premium cost if you've paid Medicare taxes for at least 40 quarters (10 years). Otherwise, Medicare will cost $278 if you’ve paid taxes for at least 7.5 years or $505 if you’ve paid taxes for less than that.^[1][2] A $1,632 deductible — your out-of-pocket cost when receiving approved healthcare services — will apply for each benefit period.^[1]

Keep in mind that you can incur a late enrollment penalty if you delay enrolling in Part A after you are first eligible.^[1]

Medicare Part B (Medical Services)

Below, we highlight which Medicare services are covered and excluded under Medicare Part B.

What’s Covered

• Up to four face-to-face alcohol misuse screenings and counseling sessions each year^[3]
• Ground ambulance transportation to a hospital or other healthcare facility
• Bariatric surgeries (gastric bypass surgery, laparoscopic banding surgery or some other type of procedure related to morbid obesity)
• Preventative services (flu shots, glaucoma tests and screenings for HIV and Hepatitis B and C and other early illness detection services)
• Up to 12 acupuncture visits for eligible chronic low back pain ^[4]
• Chemotherapy
• Chiropractic services
• Chronic care management (treatment for chronic conditions (e.g., arthritis, diabetes), comprehensive care plans, medication and other support)
• Colorectal cancer screening (colonoscopies, fecal occult blood tests and flexible sigmoidoscopies)
• Three-month trial of a Continuous Positive Airway Pressure (CPAP) device^[5]

What Isn’t Covered

• Most dental care (including dental implants and dentures)
• Eye exams and LASIK
• Cosmetic surgery
• Massage therapy
• Routine physical exams
• Hearing aids and exams to fit them
• Routine foot care

Part B Costs

The premium for Part B will cost $174.70 per month in 2024. You are responsible for a $240 deductible plus a 20% coinsurance payment for most covered services. If you fail to sign up during your initial enrollment without a qualifying exemption, your Part B premium will increase by 10% for each 12-month period after you become eligible as a late enrollment penalty.^[1]

Medicare Part C (Medicare Advantage)

Medicare Advantage, or Part C, is an alternative to Original Medicare that bundles Part A, Part B and sometimes Part D into a single health plan. Instead of being a government-funded health plan, Medicare Advantage plans are sold by private insurance companies and regulated by the federal government.

The advantage of a Medicare Advantage plan is that it may include benefits otherwise excluded in Original Medicare, such as vision, hearing and dental coverage.

However, you may only get coverage from doctors within your plan's network. With Original Medicare, you can use any doctor or hospital that accepts Medicare.

Part C Costs

Unlike Original Medicare, there is no standard premium for a Medicare Advantage plan – the cost will vary by provider and location, potentially changing each year depending on the insurer. For example, California's average premium for Medicare Advantage plans in 2024 is $16.24 per month.^[6]

You will still need to cover the premium for Part B as an additional cost to your Medicare Advantage plan’s premium.

Medicare Part D (Prescription Drugs)

Medicare Part D pays for prescription drugs, including generic and brand-name drugs. Part D is optional and can be purchased at an additional cost to supplement Original Medicare plans. Like Part C, Part D plans are offered by private insurers and regulated by the federal government.

Medicare Advantage (Part C) plans may already have Part D coverage bundled, but not always. You should confirm with your Medicare Advantage plan provider if you require prescription drug coverage, as you cannot buy Part D and Part C simultaneously.

Part D Costs

Part D coverage has no fixed premium, with the cost varying by individual and potentially changing each year. The average monthly premium is estimated to be $55.50 in 2024.^[7] Many premiums for Part D are affordable, with some states like California having standalone Part D premiums as low as $0.40.^[6]

Medicare Supplement Plans (Medigap)

Medigap, also called Medicare Supplement Insurance, is a policy sold by private insurers to cover gaps not covered in an Original Medicare plan, like copayments, coinsurance and deductibles. Medigap may even cover medical care when you travel outside the U.S. You must have Medicare Part A and Part B to qualify for Medigap.

Medigap policies will not include prescription drug coverage.

To cover the cost of prescription drugs, you must purchase a prescription drug plan (Part D), which can result in a separate premium for Medigap and Part D coverage if you purchase both. Additionally, you can’t have Medigap and Medicare Advantage plans simultaneously.^[8]

Medigap Costs

Medigap benefits are marked by different plan types or letters, with each letter having the same benefits regardless of the insurer. The premium is the only difference between different insurer’s Medigap plans with the same letter.^[9] For example, California’s Medigap Plan A’s premiums range between $107 and $926, depending on your age, health status and other factors.^[10]

Will Medicare Cover All of My Medical Needs?

Original Medicare may not be enough to cover all your needs if you require specific coverage, such as dental coverage or vision coverage. If your coverage needs are more robust, you may want to consider enrolling in a Medicare Advantage plan through a private insurer instead of Original Medicare.

Even with Medigap, not all costs and services will be covered under Original Medicare. As a result, you should always compare plans to ensure the one you choose best meets all your coverage needs.