Stethoscope on a medicare form. Medicare advantage plans MedicareNowCO Also called “Medicare Part C” and “Medicare Health Plans”, Medicare advantage plans replace Original Medicare. These plans frequently include drug coverage, and are typically in the form of HMOs (health maintenance organizations). With HMOs, a referral is required to see specialists or have procedures and tests done.

Alternatively, plans may be through PPOs (preferred provider organizations), which have¬†contracts with a network of “preferred” providers from which you can choose. However, there are other types available, as well. Medicare Advantage plans typically have low monthly premiums, but you have copayments when you use your healthcare. ¬†Because there are copayments required, these plans must guarantee an out-of-pocket maximum per year.