Information on Medicare Part A

Medicare is a national health care program created mainly for senior citizens. It was signed into law in 1965 as part of that year's new Social Security Act. Former President Harry Truman was the first beneficiary; his wife, Bess, was the second. At the time, Medicare came in only two parts, A and B. Later, two more parts, called C and D, were added, so Parts A and B are often called Original Medicare. The only part of Medicare that is mandatory to participate in the program in Part A.

Enrollment

• Most Medicare beneficiaries are senior citizens aged 65 or older. Disabled Social Security recipients or those with end-stage rental disease or Lou Gehrig's disease may also enroll even if they are under 65. If you are already receiving Social Security when you turn 65, the Social Security Administration will sign you up for both Parts A and B automatically. If you do not, you will have to sign up yourself during your initial enrollment period, which lasts from three months before your birthday month until three months after.

Benefits

• Part A Medicare does not cover all medical situations. It is specifically for inpatient hospital care, home health care, hospice services and treatment in a skilled nursing facility. Skilled nursing facility care is not the same as custodial care in a long-term facility such as a nursing home. You must first have been a hospital inpatient, and the skilled nursing facility stay must be fairly short-term. In fact, no part of Medicare offers long-term or custodial care benefits.

Premiums

• Most Medicare beneficiaries are eligible for premium-free Part A. If you or your spouse had a job where you paid 40 quarters, or ten years, of Medicare taxes, you can get Part A with no premiums. If you are not eligible for premium-free Part A, you can still join if you pay your own monthly premiums. If you paid 30 to 39 quarters of taxes, your premiums in 2011 will be $248 per month. If you paid fewer than 30 quarters, the Part A premiums will be $450 per month.

Deductibles and Co-Pays

• Part A Medicare also requires a number of deductibles and co-payments. In 2011, the annual deductible was $1,132 for hospital stays of one through 60 days. This means you must pay this amount for your medical services out-of-pocket before Part A insurance begins paying benefits. If you have a hospital stay of 61 through 90 days, you then have a co-payment of $283 per day, which goes up to $566 per day if your inpatient term lasts from 91 to 150 days. After 150 days of hospital care, you are responsible for paying all costs on your own. Medicare beneficiaries must pay coinsurance payments for skilled nursing facility stays of 21 through 100 days as well.