Medicare: Understanding the Key Differences
Choosing between Original Medicare and Medicare Advantage can feel overwhelming, but the decision often comes down to three main areas:
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Costs – Traditional Medicare usually involves a Part B premium, a supplemental “Medigap” policy, and separate Part D prescription coverage. This means higher monthly premiums but lower out-of-pocket expenses. Medicare Advantage typically has lower or even $0 monthly premiums, but higher potential out-of-pocket costs (up to several thousand dollars annually).
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Benefits – Medicare Advantage often includes extras like dental, vision, hearing, and even gym memberships. With Original Medicare, you would need to purchase these separately.
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Networks – Traditional Medicare offers nationwide access to nearly all doctors and hospitals that accept Medicare. Medicare Advantage, on the other hand, works within a defined network, similar to employer health plans.