Medicare Overview

Most Americans have heard of Medicare, approximately 45 million people were receiving Medicare benefits in 2008. The Centers for Medicare and Medicaid Services (CMS) has predicted that there will be 78 million people eligible for the program by the year 2030.

It might be expected that Medicare is very well understood, but the reality is that there are many pieces and parts that can be very confusing to the average person. A recent search on the internet for the term “Medicare” returned more than 16 million results in less than 1/10th of a second. It would take a person a really long time to read through all of those references. We hope to remove some of the mystery surrounding Medicare.

The program was designed to be available to anyone who was born in the US, a permanent and legal resident for 5 years, or the spouse of an individual who paid Medicare taxes for at least 10 years. Additional eligibility criteria include:

  • Those under 65 who were disabled and receiving disability benefits for at least two years from Social Security or the Railroad Retirement board
  • People with end stage renal disease (ESRD) or those who needed a kidney transplant regardless of age (as long as they met the residency requirements)
  • The program also includes those afflicted with amyotrophic lateral scleroses (better known as Lou Gehrig’s disease) that are eligible for disability

In 2011 those with Medicare Part B will have an annual deductible of $162/year. This is generally considered an out of pocket cost but may be covered by special programs for those with low income or other special circumstances. When a person elects Medicare coverage they will receive a special red, white and blue Medicare card. This is their insurance card and it will show if they have parts A and/or B.

To order a free booklet from Medicare you can click here or call 1-800-633-4227. Hearing impaired can call TTY 1-877-486-2048

Click here to learn more about the different parts of Medicare

Click here to learn about programs for low income people

To learn about Medicare/Medicaid coordination click here

References

Medicare http://www.medicare.gov/

Social Security Administration Online http://www.ssa.gov/history/lbjsm.html

SSA Medicare Booklet https://www.ssa.gov/pubs/EN-05-10043.pdf

Medicare Premium Rules for Higher Income Beneficiaries: https://www.ssa.gov/benefits/medicare/medicare-premiums.html

Medicare Premium Information https://www.ssa.gov/pubs/EN-05-10003.pdf