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Medicare is health insurance meant for people with disabilities, or people suffering from End-Stage Renal Disease, or for old people aged 65 years and above. Medicaid is a sponsored by the government program, aimed at people with low income in order to help them pay health care services.

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Medicare covers areas, which are categorized as part A, B, C, D. Category A covers inpatient services, skilled nursing homes, home health, and hospice care. In the United States, every worker pays a premium, which goes to Medicare part A and, therefore, while paying bills in the hospital, part A is not paid because it is already prepaid. Part A takes care of all hospital care bills.

Part B covers medical insurance, such as services b the health care providers, medical equipment, home health care, and outpatient care. Part C is also referred to as Medicare advantage; it is often provided by private insurers and covers services under part A and part B. Part D covers the cost of drugs prescribed; it is a plan to help settle bills in case of massive medical bills.

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In case of Mrs. Smith, Medicare part A will cover the inpatient care for the 5 days, the skilled nursing facilities during rehabilitation. Medicare part B will take care of the walker given during discharge and health care. Medical equipment used to treat the hospital acquired infections, such as the catheter, is not covered with Medicare; it is the responsibility of the hospital to take care of the costs involved in treating healthcare-acquired infections.. Medicare part D will take care of medicine, which have been prescribed on discharge.

Since Medicare does not cover healthcare acquired infections, the hospital will take care of all the expenses involved, such as providing the catheter and medication for treating the urinary infection.

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The ethical implications of Mrs. Smith’s incurring costs related to her hospital-acquired condition:

From 2009, Medicare no longer covers hospital- acquired infections; the responsibility was passed to hospitals (Catherine, 2007). This rule was meant to help combat constant mistakes while performing medical procedures; it is, therefore, meant to ensure improvement in the quality of healthcare services (Catherine, 2007).

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