What is Medicare Advantage?

What is Medicare Advantage?

Medicare Advantage is a health plan and can be used as an alternative to Medicare Parts A and B. Both the Balanced Budget Act of 1997 and the Medicare Modernization Act of 2003 created it to provide an alternative option for individuals.

Medicare Advantage health plans include the following:

  • Medicare Health Maintenance Organization Plans (HMO).
  • Medicare Preferred Provider Organization Plans (PPO).
  • Medicare Private Fee for Service Plans (PFFS).
  • Prescription drug benefits.
  • Fixed costs and limitations on out-of-pocket expenses.
  • Worldwide coverage for both Emergency and Urgent Care.

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Helpful Hint

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Each Medicare plan covers different drugs, and re-imburses different amounts.

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What is Medicare Advantage?