Florida 2-15 Life, Health and Variable Annuity AgentFlorida Laws and Regulations Specific to Health InsuranceHard
A Florida health insurance agent is explaining Medicare Part C options to a client. Which of the following statements accurately describes Medicare Part C?
- AIt primarily covers prescription drug costs.
- BIt is the hospital insurance portion of Medicare.
- CIt is also known as Medicare Advantage and is provided by private insurance companies.
- DIt covers physician services and outpatient care.
Show answer & explanationAnswer & explanation
Correct answer: C. It is also known as Medicare Advantage and is provided by private insurance companies.
Medicare Part C is known as Medicare Advantage and is offered by private insurance companies approved by Medicare. These plans provide all Part A and Part B benefits, and often Part D (prescription drugs), as an alternative to Original Medicare.
Why the other options are wrong
- A. Prescription drug costs are primarily covered by Medicare Part D.
- B. Hospital insurance is Medicare Part A.
- D. Physician services and outpatient care are covered by Medicare Part B.
Medicare Part C (Medicare Advantage)
An alternative to Original Medicare (Parts A and B) offered by private insurance companies approved by Medicare, providing all Part A and Part B benefits and often additional benefits.
- Also known as Medicare Advantage.
- Provided by private insurance companies.
- Must cover all benefits of Original Medicare (Part A and B).
- Often includes prescription drug coverage (Part D) and other benefits.
Memory trick: A is for hospital, B for doctors, C for choices, D for drugs.