Medicare Advantage Plans
Medicare Advantage Plans are health plan options (like an HMO or PPO) approved by Medicare and administered by a private insurer. The costs are low because the insurers get generous subsidies from the government to offer these plans. Medicare pays a fixed amount for your care every month to the companies offering Medicare Advantage Plans. Medicare Advantage Plans provide all of your Part A (Hospital Insurance) and Part B (Medical Insurance) coverage. This means they must cover at least all of the services that Original Medicare covers. However, each Medicare Advantage Plan can charge different out-of-pocket costs. These are usually copayments but can also be coinsurance and deductibles.
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