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How Medicare insurance plans work

Prevention is better than cure. It is always preferable that way, but that does not happen invariably. There are times when things crop up when we least expect them or are prepared for them. Falling ill is certainly one of them. Which is exactly why we invest in health insurance policies, for those unforeseen circumstances.

Medicare, a federal health insurance plan, is typically for senior citizens who are 65 years or older.

How Medicare insurance plans work
But those younger than the mentioned age and those suffering from certain illnesses like Lou Gehrig’s disease or end-stage renal failure also qualify for the program. As and when the steady income flow ceases with your retirement, the Medicare entitlement program proves to be a blessing for quality medical care. Working, earning and paying taxes for a substantial period of your life gives you the right to enjoy Medicare benefits as you age. And for those who aren’t lucky that way, paying a little extra premium lets you enroll and enjoy the benefits of the Medicare insurance plans.

Integrating the costs of both doctors and hospitals, and increasing its appeal with additional coverage plans – Medigap policies, for instance, that includes dentists, otologists, and ophthalmologists – the variety of Medicare insurance policies surely are plenty and advantageous. Original Medicare includes hospital insurance and medical insurance, for a cost of anywhere between $110 to $140, depending on your income. Private insurance companies who are authorized by Medicare offer Medicare Advantage plans for an additional premium over the basic cost. Apart from these, another choice is to pay monthly premiums for a Medicare Prescription Drug Plan.

Medicare works in collaboration with other insurance policies that you might have and provides coordinated benefits for you. While the primary payer pays till its coverage limit and the secondary (and tertiary payer, where applicable), subsequently pay all the costs that remain unpaid, after the first payer does his part.

Read and research the options you have thoroughly, and match it with your specific needs before picking the right Medicare plan.

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