Medicare in Michigan is a governmental program which provides medical insurance coverage for retired persons over age 65 or for others who meet certain medical conditions, such as having a disability which could sometimes be below the age of 65.
Medicare itself was put into legislation in 1965 as an amendment (add on?) to the Social Security program and is administered by the Center for Medicare and Medicaid Services (CMS) under the Department of Human Services.
Medicare provides medical insurance coverage for over 43 million Americans, many of whom would have no medical insurance without it. While not perfect (Supplements are needed!), the Medicare program offers these millions of people relatively low cost basic insurance with a monthly premium, but not much in the way of preventative care. For instance, Medicare does not pay for an annual physical, vision care or dental care. These are quick examples of hiccups with the current system.
How is Medicare paid for? Medicare is paid for through payroll tax deductions (FICA) equal to 2.9% of wages; the employee pays half and the employer pays half. As mentioned above,
So how many parts are built within the Medicare system? There are four parts to Medicare: Part A is hospital coverage, Part B is medical insurance, Part C is supplemental coverage (Medicare Supplement) and Part D is prescription insurance (Drugs). Parts C and D are at an added cost and are not required. Neither Part A nor B pays 100% of medical costs (Very important!); there is usually a monthly premium, co-pay and a deductible. In the state of Michigan some low-income people qualify for Medicaid, which assists in paying part of or all of the out-of-pocket costs.
Take note as we are in the year 2020, because more people are retiring and become eligible for Medicare at a faster rate than people are paying into the system, it has been predicted that the system will run out of money by 2028. Health care costs have risen dramatically, which adds to the financial woes of Medicare and the system has been plagued by fraud over the years.
No one seems to have a viable solution to save this system that saves many people throughout the country.