Medicare · Basics
How does Medicare work?
Medicare is federal health coverage for people 65 and older (and some younger people with qualifying conditions). It comes in parts: Part A covers hospital stays, Part B covers doctors and outpatient care, Part D covers prescriptions, and Part C (Medicare Advantage) bundles them through a private plan. Most people sign up around their 65th birth month.
Medicare · Basics
How does Medicare work?
Medicare is federal health coverage for people 65 and older (and some younger people with qualifying conditions). It comes in parts: Part A covers hospital stays, Part B covers doctors and outpatient care, Part D covers prescriptions, and Part C (Medicare Advantage) bundles them through a private plan. Most people sign up around their 65th birth month.
The four parts, in plain English
Part A (hospital). This is the hospital side — inpatient stays, some skilled nursing care, and hospice in many cases.
Part B (medical). This covers doctor visits, outpatient care, lab work, and much of the day-to-day medical care people use.
Part C (Medicare Advantage). A private plan that generally bundles Part A and Part B together, and often prescription coverage as well, through a plan network.
Part D (drugs). Prescription drug coverage, offered through private plans — either standalone or built into many Advantage plans.
Medicare Supplement (Medigap) policies are a separate piece: they help with what Original Medicare leaves for you to pay. We compare the two directions on Advantage vs. Supplement.
When you sign up
Most people have an Initial Enrollment Period — a 7-month window made up of the three months before your birth month, your birth month, and the three months after. Some people who are still working, or who have other coverage, may enroll at a different time, and those rules can get detailed.
What it costs
Part A generally has no monthly premium for people who qualify based on their work history. The standard Part B premium is $202.90 a month for most people in 2026, and it can be higher for higher incomes. Deductibles, coinsurance, and plan premiums are separate from that, and the figures are typically updated each year.
The traps people hit
Two come up again and again. The first is missing your enrollment window — a Part B late-enrollment penalty may apply, and it can last as long as you have Part B. The second is assuming one plan fits everyone, which tends to lead people into coverage that doesn't match their doctors or their prescriptions.
Every situation is different — that's where our team comes in. Start from the Medicare hub if you'd rather read a little more first.
Common Questions
Questions we hear most
What are the parts of Medicare?
Part A covers hospital care, Part B covers doctor and outpatient care, Part D covers prescription drugs, and Part C — Medicare Advantage — bundles them together through a private plan. Medicare Supplement (Medigap) plans help pay for what Original Medicare doesn't.
When can I first sign up for Medicare?
Most people can enroll during their Initial Enrollment Period — a 7-month window that includes the three months before your birth month, your birth month, and the three months after.
How much does Medicare cost?
Part A generally has no monthly premium if you qualify on your work history. The standard Part B premium is $202.90 a month for most people in 2026, and can be higher based on income.
What happens if I sign up late?
In many cases a Part B late-enrollment penalty may apply, and it can last for as long as you have Part B. There are exceptions, so it's worth talking it through with our team before you decide.
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We do not offer every plan available in your area. Currently, we represent 10 organizations offering numerous Medicare plan options across our service area. Availability varies by location. Please contact Medicare.gov, 1-800-MEDICARE, or your local State Health Insurance Program (SHIP) to get information on all of your options.
Mission 65 is an education resource operated by Lifeway Financial Group, LLC, a licensed insurance agency, and is not connected with or endorsed by the United States government, the federal Medicare program, CMS, or HHS. This site is an advertisement and a solicitation for insurance. Content here is general education, not individualized advice. Plan availability, benefits and costs vary by county and change each year. 1-800-MEDICARE (1-800-633-4227), TTY 1-877-486-2048, is available 24 hours a day, 7 days a week.
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