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Most people have heard of Medicare, but the specific details of this federally funded program are not as familiar as the name. If you are a health insurance agent or an individual approaching the age of 65, you will want to learn more about Medicare benefits.

Medicare provides medical insurance for older adults and those who qualify with a disability. It is composed of two main parts, Part A, which is a hospital insurance plan; and Part B, which is supplementary medical insurance.

Every American that is 65 or older and entitled to Social Security is eligible for Medicare benefits. Benefits become available to the individual on the first day of the month of the individual’s 65th birthday. Individuals under age 65 who qualified for Social Security Disability for at least two years are also eligible for Medicare benefits. If you are unsure of your eligibility, you can contact the Office of Medicare Services.

Part A provides benefits for inpatient hospital services for up to 90 days in each benefit period. Benefits also include payment for prescription drugs only while in the hospital. It should be noted that there is no coverage provided for the first three pints of blood that the individual may have received while in the hospital.

Part A also includes limited skilled nursing care. Skilled nursing is provided for up to one hundred days, in which the first twenty days are paid for after the deductible is met. Days twenty one through one hundred fall under the coinsurance amount of coverage. Some home health services are provided, if deemed medically necessary. Hospice care and psychiatric inpatient treatment are also covered under Part A. Psychiatric hospital care covers up to one hundred ninety days during the individual’s lifetime.

Part B provides supplementary benefits and is a voluntary medical insurance plan. Part B pays benefits for physician and surgeon fees, medical services and supplies, outpatient hospital services, x-rays, lab tests, and other services such as ambulance service and durable medical equipment. For Part B benefits, individuals pay a monthly premium and have an annual deductible. Under this plan, there are certain exclusions such as: eye and hearing examinations, routine physical exams, foot care, immunizations and private nurses.

Part C are Medicare Advantage plans, which allow participants to opt out of the traditional Part A and B and enroll in a coordinated care HMO, PPO, PSO or a private fee for service plan. Health Maintenance Organizations (HMOs) require services to be provided by its own providers, except in an emergency. Preferred Provider Organizations (PPOs) allow beneficiaries to receive services from providers outside the plan, but with higher cost sharing. Provider Sponsored Organizations (PSOs) are similar to PPOs, but they are operated by a group of physicians and hospitals. Private fee for service plans are like PSOs but they may pay providers more than Medicare recognizes and can charge beneficiaries additional premiums and cost sharing payments.

If you are an individual approaching qualification for Medicare it is best to contact a health insurance agent that specializes in Medicare products. You may also want to contact your Medicare office or contact your local Area Agency on Aging.

Want to find out more about Medicare Advantage Plans, then visit Bennett David’s site on how to choose the best Medicare Plan for your needs.

Medicare supplement insurance Plans M and N will be available for purchase starting June 1, 2010.

Medigap Plans M and N are cost sharing plans. These plans will have lower monthly premiums in exchange for higher out of pocket expenses for medical expenses incurred. For example, Plans M and N will not cover the Part B deductible and Part B excess charges.

Plan M will cover 50% of the Part A deductible, while Plan N will cover 100% of the Part A deductible. Plan N will additionally have instances in which co-pays will be required. Plans K, L, M and N will be suitable low cost alternatives to Medicare Advantage Plans (minus the prescription coverage and network restrictions.) This means that you will be able to visit any doctor or hospital that accepts Medicare.

Certain insurance companies will offer Plan N on a guaranteed issue basis in the majority of states. This will be a relief to those who have health complication and thus may have trouble obtaining coverage which requires medical underwriting. Medicare supplement Plan M, however, will require underwriting with most companies in many situations.

Many insurance providers are currently offering Medicare supplement Plans M and N, and you may now start signing up for these types of coverage as long as your effective date is June 1, 2010 or later.

Plans M and N will be cost effective ways to cover most of what Original Medicare Parts A and B do not cover. However, you still need to be sure to do thorough research on these plans to make sure you are aware and at peace with the out of pocket expenses you may need to pay. For assistance in your Medigap decision, contact a trusted Medicare attorney and/or Medicare supplement insurance brokerage.

Learn more about Medicare supplement insurance. Stop by Richard Cantu’s site where you can find out all about Medigap and what it can do for you.

Medicare supplemental insurance, in terms of the provisions and coverage offered, are made standard by the federal government. However, their prices and availability are not standardized.

Not every plan is offered by every company or in every state, and while the plans are standardized by the federal government, the government did not standardize the premium prices. Hence, the prices may be different for the same Medicare supplement plans with different providing companies. That’s right. You may buy Medicare supplement Plan F in your area from one company that charges $189 a month, or from a company that charges $95 a month. There truly is that much variation, because there is no cap or standard.

Add that price variation to the already ingrained fear that people have of Medicare supplements, and it equals disaster. People are in a rush to quickly and efficiently acquire a Medicare supplement policy as they wish to be done with the stress. Ironically, this fear perpetuates these companies’ ability to charge so much for coverage that shouldn’t be that expensive. Plans for supplement insurance ARE the same. Prices for the plans are NOT.

What about parts? You hear about Medicare Part A or Part D, and then you hear about Plan A or Plan D. You’re sitting there, staring at the screen, trying to figure out if they’re the same thing, or what type of person would name them something like that to create so much confusion. By the way, they ARE different.

Part A and Part B are included in all Plans. They are both parts of Original Medicare Coverage. Part C acts in place of Original Medicare plans and is known as a Medicare Advantage Plan. Part D is prescription coverage. Plans A-L are the Medicare supplemental plans that you can buy to increase the coverage that you have by supplementing the coverage provided by Original Medicare, hence their name. Each Medicare supplement has varying levels of coverage.

Medicare supplements, also known as Medigap, are designed to fit in with Medicare coverage and fill in the gaps where Medicare lacks to provide coverage. Speaking with an agent who has an allegiance to a specific insurance company will not behoove you as that person is most likely going to tell you that the policy and price they offer is the best all around. The simple truth is that they may just want the sale.

You should instead find a Medicare lawyer, broker, or other objective source that can help you understand this confusing world of plans, parts, and headaches so that you can obtain the medical coverage you need.

Learn more about Medigap. Stop by Richard Cantu’s site where you can find out all about a Medicare supplement policy and what it can do for you.