There are three health plans that are offered or regulated through the US government. There is often much confusion about the programs and what kind of medical care is covered.
 

MEDICARE
 
          Medicare is the national health insurance program for people age 65 and older. It is administered by the Health Care Financing Administration and the Social Security Administration handles enrollment and provides information. You are eligible for Medicare if you are a citizen or permanent resident of the United States and you or your spouse have worked for at least 10 years in Medicare-covered employment. Medicare is also available for certain younger persons and for those with chronic kidney disease.

        Medicare plans have two parts. Part A pays for hospital care, skilled nursing facility care (for 100 days), home health care (as long as Medicare's conditions are met), some hospice care (upon doctor certification of need), and blood. Part B pays for a portion of the medical expenses (doctor services and tests), a portion of home health care costs, some blood, and some out-patient services.

        Most importantly, Medicare does not cover custodial care if that is the only type of care needed- even if the care is provided in a nursing home.

        While most people do not have to pay for their Medicare Part A coverage, you do have to pay for Medicare, Part B.

        Applying for Medicare is easy. At the age of 65, those already receiving Social Security benefits are automatically enrolled. You'll get your Medicare card about three months before your 65th birthday. If you are not already receiving Social Security, you need to visit the SSA office closed to you at any time from three month before your 65th birthday to four months after it. You have a seven month enrollment period, but it's best if you apply early.
 

MEDIGAP

        Medicare does not cover all medical expenses you are likely to incur. To solve this problem, most seniors purchase some type of Medigap insurance. As the name implies, this is a supplemental health plan that is offered through private insurance agencies that will pay for much of what Medicare does not.

        The Federal government heavily regulates Medigap insurance in order to protect seniors. There are 10 variations (Plans A-J) with Plan J offering the most complete coverage and Plan A covering very little. As expected, Plan J also costs the most, but it is the only one that offers prescription drug coverage.

        For residents of Massachusetts, the supplemental health plans are not know as Plans A-J, but are identified separately by their providers (i.e.- Blue Cross offers Medex Bronze, Silver and Gold, with the gold plan covering the most and costing the most.)

        Under the law, everyone who want to buy Medigap insurance is able to, regardless of health. To qualify, you simply need to apply for your policy during the open enrollment period, that usually starts when you are age 65 and ends when you enroll in Medicare Part B.

MEDICAID

        Medicaid is a needs-based program designed to provide medical assistance to the indigent, much like a welfare system for medical care.  Medicaid will cover long term nursing home care, including custodial care.

        Medicaid is administered by the each state's Department of Medical Assistance and it is funded by the Federal and State governments. Rules governing Medicaid eligibility are generated by both the federal and state governments, although the state must always act within the confines of federal law.