Part B is Medical Insurance and covers physicians services, outpatient care, test, and supplies. (see Medicare Part B)

Part A is Hospital Insurance and covers cost associated with confinement in a hospital or skilled nursing facility. (see Medicare Part A)

Medicare started offering insurance coverage for prescription drugs through Medicare prescriptions drug plans and other health plan options. Medicare's prescription drug coverage will typically pay over half of your drug costs, for a monthly premium. (see Medicare Part D)