Which statement best defines Medicare?

• A. A private employer-based plan
• B. A federal insurance program for individuals aged 65 and older, or younger individuals with disabilities.
• C. A state-funded program for children only
• D. A savings account for medical expenses

Answer: (B)

Medicare is a federal health insurance program. It provides coverage primarily for people aged 65 and older, and for younger individuals who have disabilities or certain medical conditions. That scope—federal backing, eligibility by age 65+ or disability status—is what makes this option the best fit. It’s not a private employer-based plan, not a state-funded program for children, and not a savings account; instead, it’s government-provided health insurance with various parts that cover hospital care, medical services, and prescription drugs.