Does Medicare Count As Health Insurance? 
Medicare is health insurance . Rather than coverage through a private health insurance carrier your plan is funded by the taxpayer and the insurance is administered -LRB- other than claims -RRB- by CMS -LRB- Medicare -RRB- . Medicare is considered creditable coverage , so if you are transitioning from Medicare to a traditional health insurance plan you should not have to worry about a break in coverage penalty . 