Medicare is typically considered better than private insurance due to its low cost and regulated benefits. It also has private additional coverage options, so you can still have regulated private insurance with Medicare.
Medicare—What it is and How it Works
Medicare is a federal insurance program designed for seniors (65+) and those with ESRD or disability. There are 5 different parts of Medicare—Part A and Part B, which fall under Original Medicare, Part C, or Medicare Advantage, Part D, and Medicare supplements, also known as Medigap.
Parts A and B (Original Medicare) are fully offered through and regulated by the federal government. This means that no matter your health history, where you live, or any other factors that may influence the cost of your insurance, the amount you’ll pay for coverage is the same.
Part A covers emergency short-term hospital and nursing facility care up to 60 days per year. Part B provides general medical coverage and can include a variety of benefits depending on the approval of your doctor. This can include preventative care, Durable Medical Equipment (DME), physical therapy, and more.
The Benefits of Private Over Medicare Insurance
Private insurance, on the other hand, has widely variable rates depending on those determining factors mentioned above. Rates will also be determined by the number of benefits they offer and can change over the course of time.
This means that, unlike Original Medicare (not Medicare Advantage, Part D, or supplements), you can “shop around” and compare pricing and benefits for plans in your area. And, if you want more or fewer benefits than are provided by Original Medicare, you may be able to find plans that cost less.
The Benefits of Medicare Over Private Insurance
That being said, it’s important to keep in mind that Original Medicare is one of the least expensive insurance options on the market. Because of its regulated pricing, you’re also buying a secure premium and deductible that may only increase by a few dollars every year, rather than change based on personal factors or time with the plan.
The same can be said for benefits. Not only are you sure of the benefits included in your Original Medicare coverage, but you can also rest assured that most (if not all) healthcare providers will accept your plan.
Private Insurance with Medicare
But this speaks only to the benefits of Original Medicare over private insurance. Medicare also offers Part C, Part D, and Medigap as additional coverage options to Medicare beneficiaries. Unlike Original Medicare on its own, these plans are provided through private companies, and thus feature many of the same benefits as fully privatized insurance, while still offering much of the same stability of Medicare as a federally-regulated plan.
Need Help Deciding on Your Insurance? Call Senior Insurance Consultants
When it comes to your health insurance, the good news is that you have plenty of options, but you may have a hard time choosing—call Senior Insurance Consultants at 620-664-2985 for help making that final decision.
