The Four Parts of Medicare — Explained Simply

Medicare can feel overwhelming. Here's a clear, plain-English breakdown of each part and what it covers — with 2026 costs from CMS.

Part A

Medicare Part A — Hospital Insurance

Part A covers care you receive inside a hospital or facility. Most people qualify for premium-free Part A.

Inpatient hospital stays
Skilled nursing facility care (up to 100 days)
Hospice care
Some home health care services

2026 Costs: $0 premium for most · $1,736 deductible per benefit period · Days 61–90: $434/day · Days 91+: $868/day · SNF days 21-100: $217/day

Part B

Medicare Part B — Medical Insurance

Part B covers outpatient care and preventive services — doctors, tests, and services outside of a hospital.

Doctor and specialist visits
Outpatient surgery and procedures
Preventive care (wellness visits, screenings, vaccines)
Lab tests, X-rays, MRIs, diagnostic imaging
Mental health services (outpatient)
Durable medical equipment
Ambulance services

2026 Costs: $202.90/month standard premium · $283 annual deductible · 20% coinsurance (no cap on Original Medicare)

Part C

Medicare Part C — Medicare Advantage

Part C is an all-in-one alternative to Original Medicare from private insurers. Bundles Part A + B + usually D.

Everything Part A and Part B cover
Prescription drug coverage (usually included)
Dental, vision, and hearing benefits
Fitness programs (SilverSneakers)
Over-the-counter allowances
Transportation to appointments
Maximum out-of-pocket limit

2026 Costs: Many $0 premium plans in Colorado · You still pay Part B premium · Copays vary by plan

Part D

Medicare Part D — Prescription Drug Coverage

Part D covers prescription medications. Needed if on Original Medicare or Medigap.

Brand-name and generic prescription drugs
Vaccines covered under Part D (e.g., shingles)
Each plan has its own formulary
Coverage phases: deductible, initial, gap, catastrophic
Extra Help / Low-Income Subsidy available

2026 Costs: ~$35–$50/month average · Max deductible $615 · $2,100 annual out-of-pocket cap · Late penalty if you delay

Not sure which combination is right for you? That's exactly what we help with — at no cost. See the full 2026 cost table or our Part D deep dive.

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Medicare Basics Guide — Chapters 1–4

Plain-English breakdown of Medicare Parts A, B, C, D, enrollment windows, and what's covered. Includes 2026 costs and real-world examples.

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Written and reviewed by Darin Weidauer — licensed Colorado insurance agent (NPN 18580338), Gerontologist (USC Davis School of Gerontology), MBA, Registered Social Security Analyst, and U.S. Air Force veteran. Independent and appointed with 10 Colorado carriers.Last reviewed September 2, 2026. Plan availability, benefits and costs change every plan year — verify current details at Medicare.gov or 1-800-MEDICARE.