Summary: Medicare Part A is part of Original Medicare and provides coverage for hospital care, skilled nursing facility care, hospice care, and home health care. Learn more about Part A health coverage and the out-of-pocket costs that beneficiaries are responsible for. Estimated Read Time: 4 min
What is Medicare Part A?
Medicare Part A, also known as Medicare hospital insurance, is the part of Original Medicare that covers inpatient services. If you enroll in Medicare Part A, you will receive coverage for hospital stays, home health care, hospice, and care at a skilled nursing facility.
Part A Medicare Benefits Include:
- Hospital inpatient care
- Skilled nursing facility care
- Hospice care
- Home health care
Medicare Part A works in tandem with Medicare Part B to provide essential healthcare coverage to Medicare beneficiaries. Like Part B, beneficiaries can use their Medicare Part A hospital insurance at any qualified healthcare provider in the U.S. who participates in the Medicare program.
Am I Eligible for Medicare Part A?
Medicare Part A hospital coverage is available to U.S. citizens over the age of 65, or those with a qualifying disability. Most individuals are eligible for a $0 premium for Medicare Part A, however, some will have to pay a monthly premium for Part A coverage.
If you are already receiving Social Security benefits, you will automatically be enrolled in Part A when you turn 65. However, if you are still working, you will need to sign up for Medicare through the Social Security Administration. Medicare Part A is not mandatory; however, it is wise to apply coverage when you first become eligible for Part A. Waiting to enroll in Medicare Part A may result in penalties down the road.
Medicare Part A Costs
You might be wondering: how much does Medicare Part A cost? For most people, the premium for Medicare Part A is $0. You qualify for premium-free Part A if you or your spouse worked and paid Medicare tax for at least ten years (40 or more quarters). If you don’t qualify for a $0 premium, you will have to pay a monthly premium to get Part A coverage.
Even if you qualify for premium-free Part A, your coverage is not without other costs. Each time you use your Medicare Part A benefits, you are responsible for the Part A deductible and coinsurance. It’s important to note that the Part A deductible is a per-occurrence deductible; this means you will have to pay the deductible each time you’re admitted to the hospital per benefit period.
When using your Medicare Part A coverage for staying at a hospital or skilled nursing facility, you are responsible for paying any coinsurance. Part A coinsurance is an out-of-pocket cost that you pay after paying your deductible. The coinsurance amount increases the longer you stay at a hospital or nursing facility.
For your first sixty days in a hospital, you will only be responsible for paying your Part A deductible. After that, you will begin paying coinsurance for each day you remain in inpatient care.
For skilled nursing facilities, you don’t start paying coinsurance until your twenty-first day.
Refer to the chart below for more information on coinsurance amounts.
Medicare Part A Cost Summary
It’s important to note that Medicare Part A does not have a yearly limit on what you pay out of pocket. If you’re worried about the strain out-of-pocket costs can put on your budget, you may consider a Medicare Supplement Plan.
| Part A Costs | 2024 Amount | 2023 Amount |
|---|---|---|
| Premium | $0 for most people | $0 for most people |
| Deductible | $1,632 | $1,600 |
| Hospital Stay Coinsurance | 1-60 Days: $0 after you pay your deductible. 61-90 Days: $408 each day 91-150 Days: $816 each day while using your 60 lifetime reserve days After day 150: you pay all costs | 1-60 Days: $0 after you pay your deductible. 61-90 Days: $400 each day 91-150 Days: $800 each day while using your 60 lifetime reserve days After day 150: you pay all costs |
| Skilled Nursing Facility Stay Coinsurance | 1-20 Days: $0 21-100 Days: $204 each day After day 100: you pay all costs | 1-20 Days: $0 21-100 Days: $200 each day After day 100: you pay all costs |
| Home Health Care | $0 for covered home health services | $0 for covered home health services |
| Hospice Care | $0 for covered hospice care services | $0 for covered hospice care services |
Have Questions About Medicare Part A Benefits?
We understand that Medicare can be complex and difficult to understand. We hope our Medicare Part A article helped you get a basic understanding of what Part A covers and what it costs. Have additional questions? Give us a call – our licensed insurance agents can walk you through Medicare Part A and answer any questions you may have regarding costs or coverage.
Looking to learn more about Medicare Part A? Below, you can find additional resources and information covering Part A in more detail.
Are you ready to enroll in Medicare Part A? Learn how to apply for your Medicare Part A coverage here.
Do you need more information on what is covered under Part A and what isn’t? Learn more here.
Medicare costs change from year to year. Get the latest information on the Medicare Part A deductible here.
Sources
What Does Medicare Cost, Medicare. Accessed June 2023.
https://www.medicare.gov/basics/get-started-with-medicare/medicare-basics/what-does-medicare-cost
2023 Medicare Costs, Medicare. Accessed June 2023
https://www.medicare.gov/Pubs/pdf/11579-medicare-costs.pdf
Original Medicare (Part A and B) Eligibility and Enrollment, Centers for Medicare & Medicaid Services. Accessed June 2023.
https://www.cms.gov/medicare/eligibility-and-enrollment/origmedicarepartabeligenrol
