Seniors at youth baseball game

Understanding Medicare

Learn how Medicare Parts A, B, C, D and Medicare Supplement work and what each covers.

How Medicare works

Medicare is a government health insurance program for Americans who are 65 or older and younger people who have certain disabilities and receive Social Security benefits.

Medicare facts to know

  • You can sign up for Medicare at age 65, even if you’re not ready to retire
  • Medicare pays for approximately 80% of medical expenses and covers only certain types of care. Additional Medicare coverage from Blue Cross and Blue Shield of Minnesota can help pay some of your additional healthcare costs.
  • You may pay a penalty if you don’t sign up for Medicare Part B and Part D coverage when you first become eligible
Learn how Medicare works

The parts of Medicare

Each part provides partial coverage to help pay for your healthcare expenses.

Part A: Hospital coverage

Original Medicare

Medicare Part A helps pay for inpatient care in:

  • Hospitals
  • Skilled nursing facility (SNF)
  • Hospice care
  • Home health care
Learn more about Part A

Part B: Medical coverage

Original Medicare

Medicare Part B helps pay for medically necessary services and supplies:

  • Services from doctors and other health care providers
  • Outpatient care
  • Home health care
  • Durable medical equipment
  • Many preventive services (like shots, vaccines, and yearly Wellness visits)
Learn more about Part B

Part C: Medicare Advantage

Offered through private insurers, Medicare Part C combines your Medicare Part A, Part B, and usually Part D benefits under one Medicare Advantage plan.

Plans may offer benefits for:

  • Dental
  • Vision
  • Hearing
  • Acupuncture
  • Over-the-counter items and more
Learn more about Part C

Part D: Drug coverage

Medicare Part D helps pay prescription drug costs.

It can be added to Original Medicare or a Medicare Supplement or Medicare Cost plan that doesn’t have prescription drug benefits.

Part D prescription drug plans are offered through private insurance companies.

Learn more about Part D

Medicare Supplement (Medigap)

Medicare Supplement, also known as Medigap, are medical-only plans offered through private insurers that help cover what Original Medicare doesn’t cover, including:

  • Copays
  • Coinsurance
  • Deductibles
Learn more about Medicare Supplement

Medicare Cost

Medicare Cost plans give you all the benefits of Original Medicare, plus additional benefits like dental, vision, hearing and more.

Some Cost plans also offer optional Part D prescription drug coverage.

Available in 21 Minnesota counties.

Learn more about Medicare Cost

Support and resources

Blue Cross offers Cost, PPO, and PDP plans with Medicare contracts. Enrollment in these Blue Cross plans depends on contract renewal.

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