Medicare was enacted by Congress in 1965. If you have a Medicare card with Part A and Part B then you have original Medicare. However, you are responsible for yearly deductables and 20% of all costs. This is why you need a Medicare policy to offset the deductables and costs.
Part A covers inpatient hospital care and services, skilled nursing facility care, home health care and hospice care.
In 2018 the Hospital deductible is $1,340 (per benefit period) and covers days 1-60 then days 61-90 you pay $335 per day then days 91-150 you pay $670 per day.
Skilled nursing is covered up to 100 days after a 3-day (admitted) hospital stay and they pay for days 1-20 then on days 21-100 you pay $167.50 per day.
Medicare (approved) home health care is covered in full and hospice care is covered provided it’s in a Medicare-certified facility.
The premium for Part B for 2016 is $183 unless you’re a high-income earner then the premium can go as high as $428.60 per month.
Once the deductible is paid, you are responsible for 20% of all medical costs and Medicare is responsible for 80% for most covered services.
Outpatient care, doctor services, hospital or clinic care, office and home visits, diagnostic X-rays, lab tests, radiation therapy, medical supplies and services, durable medical equipment, outpatient diagnosis or treatment services, ambulance transportation, outpatient rehabilitation (physical, speech and occupational therapy), home health visits (when ordered by a doctor), and ambulatory surgical centers are covered.
Your annual preventive care (physical) is at no cost. Certain cancer screenings, immunizations and flu shots are covered if approved by Medicare.