Medicare came into being in 1965 when then US President Lyndon Johnson signed Title XVIII, an amendment to the Social Security Act into law in order to provide individuals aged 65 or older with health insurance. Additionally, younger individuals with disabilities or those suffering from the end-stage renal disease were also covered. Originally, the program was Medicare Part A and B with "A" being hospitalization coverage and "B" covering medical expenses required for medical equipment.

Medicare Part A - Hospital Insurance

Covers hospitalization which includes staying overnight on an in-patient basis. It includes being in a semi-private room, your food, and any tests that have to be administered. It also covers staying in a skilled nursing facility to recuperate from injuries or surgeries provided the individual has met specific criteria.

Part A covers up to 100 days maximum when staying in a skilled nursing facility while the maximum stay is 90 days for in-patient hospital stays. Additionally, individuals requiring hospice care who are suffering from a terminal disease and who have 6 months or less to live are also covered under Medicare A. Covered treatment includes medications, pain relief, and symptom control.

Medicare Part B - Medical Insurance

Some medical products and services that are not covered under Part A will be covered under Part B usually for outpatient purposes. Part B is a deferrable option provided the beneficiary or their spouse is still employed and is receiving employer-provided healthcare coverage. From that point on, Medicare covers 80% of approved expenses while the individual is responsible for the remaining 20%. Many people look for a Medicare Supplement Plan to cover what Part A B does not cover.

How do Medicare Part A And B Differ?

Aside from the aforementioned general breakdown of Medicare Part A and B, there are other differences between the two. In addition to hospitalization and the coverages above, Part A includes blood transfusions and home health services. Part B covers other aspects that Part A does not. Occupational and physical therapy as well as out-patient care are usually covered under Medicare Part B.

Final Words

Medicare Part A and B will have certain benefits that may apply to your circumstances, depending on the health coverage you need. For more information regarding Medicare Part A and B, you are welcome to visit the official Medicare website.