What does the term "service area" refer to in Medicare plans?

The term "service area" in Medicare plans specifically refers to the geographical limit for plan availability. This is a crucial concept because each Medicare plan, including Medicare Advantage and Medicare Part D, is offered in specific regions or areas. These areas can vary depending on the plan, and enrollment in a particular plan is often restricted to individuals residing within the defined service area.

Understanding the service area helps ensure that beneficiaries select plans available to them based on their residential location. The plan's coverage—including which doctors and hospitals are in-network, as well as how benefits may be accessed—depends on this geographical boundary. If an individual lives outside the service area of a specific plan, they would not be able to enroll in it or utilize its benefits.