Medicare Parts A, B, C and D, explained
Medicare is four parts with letters that don't explain much. Here's what each one does, what it costs, and how they fit together into the two routes you choose between.
Part A covers hospital stays and is premium-free for most people. Part B covers doctors and outpatient care and has a monthly premium. Part C is Medicare Advantage: private plans that provide your Part A and B coverage, usually with drug coverage and a network. Part D covers prescription drugs. You choose one of two routes: Original Medicare (A and B) with a Part D plan and usually a Medigap supplement, or a Medicare Advantage plan.
The four parts at a glance
| Part | What it covers | What it costs (2026) |
|---|---|---|
| A: hospital | Inpatient hospital stays, short skilled nursing stays after a hospital stay, hospice, some home health | No premium for most people; $1,736 deductible per benefit period |
| B: medical | Doctors, outpatient care, tests, preventive care, durable medical equipment | $202.90 a month standard premium; $283 yearly deductible, then usually 20% |
| C: Medicare Advantage | Everything in A and B through a private plan, usually with drug coverage and often extras | Your Part B premium plus the plan's premium and copays; in-network costs are capped each year |
| D: drugs | Prescription drugs, through a private plan | The plan's premium and copays; out-of-pocket drug costs are capped at $2,100 a year |
Higher-income people pay more for Parts B and D (the IRMAA surcharge). For 2027 the Part D cap rises to $2,400, and the most a Medicare Advantage plan can charge for in-network care is $9,850.
Part A: hospital insurance
Part A pays for care when you're admitted to a hospital, for a short stay in a skilled nursing facility after a qualifying hospital stay, and for hospice. If you or your spouse worked about ten years paying Medicare taxes, it has no premium. The deductible applies to each benefit period, not each year, so two separate hospital stays in one year can mean two deductibles. Long-term custodial care isn't covered; Medicare vs Medicaid explains who pays for that.
Part B: doctors and outpatient care
Part B covers doctor visits, outpatient surgery, lab work and imaging, preventive screenings, ambulance rides and equipment like walkers. After the yearly deductible you usually pay 20% of the Medicare-approved amount, with no yearly limit in Original Medicare. That open-ended 20% is the main reason people add a Medigap supplement or choose Medicare Advantage.
Part C: Medicare Advantage
Medicare Advantage plans are run by private insurers approved by Medicare. They cover everything Parts A and B do, usually include Part D, and often add dental, vision or hearing benefits. In exchange you generally use the plan's network, and many services need prior approval. Each county has its own list of plans: 2027 Medicare plans by county. Medicare Advantage covers the trade-offs, and Medicare Advantage (Part C) plans in New York covers the carriers and counties upstate.
Part D: prescription drugs
Part D plans are sold by private insurers, either on their own (alongside Original Medicare) or built into a Medicare Advantage plan. Each plan has its own drug list and pharmacy network, so the right plan depends on your prescriptions. If you go without drug coverage when you're first eligible and don't have other creditable coverage, a late-enrollment penalty is added for life. Part D in New York and every 2027 Part D plan in New York have the details.
Where Medigap fits
Medigap, also called Medicare Supplement, isn't a part of Medicare. It's private insurance that pays some or all of what Original Medicare leaves you, like the Part A deductible and the 20% under Part B. It works only with Original Medicare and doesn't cover drugs. In New York you can apply for any Medigap plan in any month without health questions. Medicare Supplement (Medigap) compares the plans.
The two routes
- Original Medicare: Parts A and B, plus a stand-alone Part D plan, usually with a Medigap policy. Any doctor or hospital in the country that takes Medicare, with predictable costs, for a higher monthly premium.
- Medicare Advantage: one plan for A, B and usually D, often with a low premium, a network, and copays up to a yearly cap.
Medicare Advantage vs Medigap in New York walks through the choice, and the turning-65 checklist covers when to sign up. If you'd like the comparison against your own doctors and prescriptions, I do that at no fee.
By county: Albany · Saratoga · Schenectady · Rensselaer · Warren · Washington · Montgomery · Fulton · Columbia · Greene · Schoharie · Otsego · Herkimer · Hamilton · Essex · Ulster · Dutchess. Town pages: every town, grouped by county. Anywhere else in New York.
- Parts of Medicare (Medicare.gov)
- Medicare costs (Medicare.gov) — Part A and Part B premiums and deductibles
- What Part A covers (Medicare.gov)
We do not offer every plan available in your area. Currently we represent 10 organizations which offer 81 products in your area. Please contact Medicare.gov or 1-800-MEDICARE to get information on all of your options. 1-800-MEDICARE (TTY 1-877-486-2048) is available 24 hours a day, 7 days a week. Insurers' legal names and home offices: carriers page.
Common questions
Short answers to what people ask before they call.
Still have a question? Call (518) 902-8822 or book a call.
Do I need both Part A and Part B?
Most people take both at 65. If you're covered by a current employer's plan, you may be able to delay Part B without a penalty; whether you should depends on the size of the employer and the plan. Medicare Advantage and Medigap both require Part A and Part B.
Is Part C separate from Parts A and B?
No. Part C, Medicare Advantage, is a private plan that delivers your Part A and Part B coverage, usually with Part D drug coverage built in. You keep paying your Part B premium.
Is Medigap Part D?
No. Medigap (Medicare Supplement) is separate private insurance that pays some of Original Medicare's out-of-pocket costs. It doesn't cover prescriptions, so people with Medigap also buy a Part D plan.
Can I have Medicare Advantage and Medigap together?
No. Medigap only works with Original Medicare. If you're in a Medicare Advantage plan, a Medigap policy wouldn't pay anything.
Turning 65 or rethinking your setup?
Bring your doctors and prescriptions. I'll show how the parts fit for you, Original Medicare with a supplement or a Medicare Advantage plan, at no fee.