02/25/2026
📋 Save this. Part A and Part B are not two halves of the same coverage. They cover different things, charge differently, and have different cost structures.
Part A covers inpatient care. Hospitals, skilled nursing, hospice. Most people pay $0 in premiums because they paid Medicare taxes for 40+ quarters during their working years. But the deductible is $1,736 per benefit period, and a benefit period resets 60 days after you leave the hospital. That means you can be charged the deductible more than once in the same year.
Part B covers outpatient care. Doctor visits, lab work, outpatient surgery, preventive screenings, durable medical equipment. Everyone pays the $202.90/month premium. If your income is above $109,000 single or $218,000 married filing jointly, IRMAA surcharges push that premium higher.
The detail most people miss: Part B has no annual out-of-pocket maximum. After your $283 deductible, you pay 20% of the Medicare-approved amount with no cap. An outpatient knee replacement billed at $50,000 means $10,000 out of pocket. That is why Medigap plans (especially Plan G) are so common among people on Original Medicare.
Neither part covers prescription drugs. That is Part D, a separate plan with a separate premium.
Part A and Part B together are called Original Medicare. Medicare Advantage (Part C) is an alternative that bundles A, B, and usually D through a private insurer, often with an out-of-pocket cap that Original Medicare does not have.