What does Medicare Part A cover?

Part A covers inpatient hospital care, skilled nursing facility care that is not custodial or long-term, hospice care, and home health care. It is premium-free for most people and carries a $1,736 deductible per benefit period.

What does Medicare Part B cover?

Part B covers medically necessary services such as doctor visits and tests, preventive services, clinical research, ambulance services, durable medical equipment, mental health services, and limited outpatient prescription drugs. The standard premium is $202.90 a month with a $283 annual deductible.

What is Medicare Part C?

Part C, or Medicare Advantage, bundles Part A and Part B coverage into one plan offered by a private insurer that contracts with Medicare. Most also include Part D drug coverage. Common types include HMO, PPO, PFFS, SNP, HMOPOS, and MSA plans.

What is Medicare Part D?

Part D is Medicare prescription drug coverage, offered through private insurers either as a standalone plan or bundled into a Medicare Advantage plan. For 2027 the annual out-of-pocket cap is $2,400 with a maximum deductible of $700.

What is Original Medicare?

Original Medicare is Parts A and B together. It is administered by the federal government and lets you see any provider who accepts Medicare, with no networks and no referrals.

What Are The Parts of Medicare

Q: Is Medicare Supplement one of the parts of Medicare?

No. Medicare Supplement, also called Medigap, is a separate private policy that pays costs Original Medicare leaves behind. You cannot have both a Medicare Advantage plan and a Medicare Supplement.

Reviewed by Scott Bowling, licensed independent Medicare broker. Texas License #2882146. Last reviewed September 2026.

Medicare Part A

Medicare Part A is commonly considered hospitalization insurance. Part A covers costs related to:

Inpatient care in a hospital
Skilled nursing home care, inpatient care in a skilled nursing facility that is not custodial or long-term
Hospice care
Home health care

Part A is premium-free for most people if you or a spouse paid Medicare taxes for at least 10 years. It carries a $1,736 deductible per benefit period, not per year.

Medicare Part B

Medicare Part B provides for the rest of your non-hospitalization healthcare needs. Under Part B you receive coverage for:

Medically necessary services such as doctor visits, tests, and other services as needed to diagnose or treat your condition
Preventive services like routine screenings, check-ups, vaccinations, and more
Clinical research
Ambulance services
Durable medical equipment
Mental health services
Limited outpatient prescription drugs

Part B is not free. The standard monthly premium is $202.90, higher for some based on income, with an annual deductible of $283. After the deductible, Medicare generally pays 80% and you pay the remaining 20% with no annual limit.

Together, Medicare Parts A and B are called Original Medicare.

Medicare Part C

Medicare Part C, or Medicare Advantage, is designed to roll the coverage of Parts A and B into one plan, offered by a private health insurance company that contracts with Medicare. By law, Advantage plans must offer at least the same coverage as Original Medicare. Other rules may differ, or the network might offer additional benefits. Many Advantage plans also include Part D, or prescription drug coverage.

You stay enrolled in Medicare and keep paying your Part B premium. Unlike Original Medicare, every Advantage plan has an annual maximum out-of-pocket limit on Part A and Part B services.

Common types of Part C plans include:

Health Maintenance Organization (HMO) plans
Preferred Provider Organization (PPO) plans
Private Fee-for-Service (PFFS) plans
Special Needs Plans (SNPs)
HMO Point of Service (HMOPOS) plans
Medicare Medical Savings Account (MSA) plans

If you opt for a Part C plan, you have the opportunity to compare plans, benefits, and rates each year during the Annual Enrollment Period, October 15 to December 7.

Medicare Part D

Medicare Part D is prescription drug coverage. It is offered through private insurance companies, either as a standalone plan alongside Original Medicare or bundled into a Medicare Advantage plan.

Part D is voluntary, but if you go 63 days or more without it or other creditable drug coverage after first becoming eligible, you face a permanent late enrollment penalty.

For 2027, the standard benefit caps your annual out-of-pocket drug costs at $2,400, with a maximum deductible of $700. Covered insulin is capped at $35 a month.

What About Medicare Supplement?

Medicare Supplement insurance, also called Medigap, is not a part of Medicare. It is a separate private policy that pays costs Original Medicare leaves behind, including that unlimited 20% Part B coinsurance and the Part A deductible.

You cannot have both a Medicare Advantage plan and a Medicare Supplement. You pick one path or the other.

Need Help Sorting This Out?

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We do not offer every plan available in your area. Any information we provide is limited to those plans we do offer in your area. Please contact Medicare.gov or 1-800-MEDICARE to get information on all of your options. We are not connected with or endorsed by the United States government or the federal Medicare program.