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What is a premium?

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AARP
 
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A premium is the monthly fee you pay to Medicare or a private insurance plan for your health care and your prescription drug plan.

You will need to pay premiums for Medicare Part B, which covers physician and outpatient services, and Part D, which covers prescription drugs. Most people do not pay premiums for Medicare Part A, which covers hospital, nursing home and some home health care services. If you sign up for Medicare Advantage, you may also have to pay a premium for that.

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