What type of Medicare plan includes both Part A and Part B?

The correct answer is Medicare Advantage, also known as Medicare Part C. This type of plan is significant because it combines the benefits of both Medicare Part A (hospital insurance) and Medicare Part B (medical insurance) into a single plan. By enrolling in a Medicare Advantage plan, beneficiaries receive coverage for hospital stays, doctor visits, outpatient care, preventive services, and often additional benefits that are not included in Original Medicare, such as vision, dental, and wellness programs.

Medicare Advantage plans are offered by private insurance companies that are approved by Medicare, and these plans must provide at least the same level of coverage as Original Medicare, even though they may have different rules, costs, and coverage limitations.

In contrast, Medicare Part A only covers hospital services, while Medicare Part B covers outpatient medical services. Medicare Part D specifically focuses on prescription drug coverage, making Medicare Advantage the only option that encompasses both hospital and medical coverage in one plan. This integration can provide a more cohesive and managed care approach for beneficiaries.