CMS the Centers for Medicare & Medicaid Services has released the premiums, deductibles, and coinsurance amounts for 2024. Find out how much rates will be going up for the 65+ million Americans on Medicare. Medicare is a federal health insurance program that covers people who are 65 or older, certain younger people with disabilities, and people with End-Stage Renal Disease. The program is divided into different parts, each covering different services. In this blog post, we will focus on Medicare Parts A and B premiums and deductibles for the year 2024.
Medicare Part A
Medicare Part A covers inpatient hospital services, skilled nursing facilities, hospice, inpatient rehabilitation, and some home healthcare services. About 99% of Medicare beneficiaries do not have a Part A premium since they have the required minimum 40 quarters of Medicare-covered employment. However, for those who do have to pay a premium, it will decrease by $1 in 2024 to $505.
The Part A deductible for inpatient hospital services will increase by $32 in 2024, to $1,632. The Part A daily coinsurance amounts will be $408 for days 61-90 of hospitalization in a benefit period; $816 for lifetime reserve days; and $204 for days 21-100 of extended care services in a skilled nursing facility in a benefit period.
Medicare Part B
Medicare Part B covers physicians’ services, outpatient hospital services, certain home health services, durable medical equipment, and certain other medical and health services not covered by Medicare Part A. The standard monthly premium for Medicare Part B enrollees will be $174.70 for 2024, an increase of $9.80 from $164.90 in 2023[1].
The annual deductible for all Medicare Part B beneficiaries will be $240 in 2024, an increase of $14 from the annual deductible of $226 in 2023[1]. The increase in the 2024 Part B standard premium and deductible is mainly due to projected increases in healthcare spending and, to a lesser degree, the remedy for the 340B-acquired drug payment policy for the 2018-2022 period under the Hospital Outpatient Prospective Payment System[1].
Since 2007, a beneficiary’s Part B monthly premium has been based on his or her income. These income-related monthly adjustment amounts affect roughly 8% of people with Medicare Part B. The 2024 Part B total premiums for high-income beneficiaries with full Part B coverage may be found at CMS.
Conclusion
Understanding the Medicare Parts A and B premiums and deductibles is important for beneficiaries to plan their healthcare expenses. While the premiums and deductibles have increased slightly for 2024, it is important to note that Medicare provides essential health coverage for millions of Americans. For more information on Medicare, visit the official Medicare website or speak with a healthcare professional.
References:
1. https://www.cms.gov/newsroom/fact-sheets/2024-medicare-parts-b-premiums-and-deductibles?mod=anlink