Medicare Part B Premiums to Decrease in 2023
For the first time in over a decade, the Centers for Medicare and Medicaid Services announced that Medicare beneficiaries will enjoy a lower premium in 2023. That’s welcome news for seniors living on a fixed income and struggling with dramatic price increases on, well, everything.
The standard monthly premiums in 2023 will be $164.90 in 2023, a decrease of $5.20 from 2022. The reduction comes after a big spike in 2022 premiums—a 14.5% increase in Part B premiums.
President Biden noted the drop in premiums at a White House event, sending a clear message of support for Social Security and Medicare. The mid-term elections are not far away, so these messages are not purely altruistic, but for seniors, they are essential.
A key driver of the hike in 2022 was a projected spend for an expensive new drug for Alzheimer’s. But since then, the drug’s manufacturer said it would cut the price, and CMS said it would provide limited coverage for its drug. The lower-than-forecasted cost was part of the drop in 2023 premiums.
Another reason for the drop was lower spending on other Part B items and services, meaning the Part B trust fund actually had an increase in its reserves. More good news.
The annual deductible for Medicare Part B beneficiaries will be $226 next year, a decrease of $7. That may not sound like much, but every dollar counts for seniors living on a fixed income.
Medicare Part B covers physician services, outpatient hospital services, home health services, durable medical equipment, and other medical and health services not covered by Medicare Part A.
The Inflation Reduction Act, passed by Congress in August, will also have an impact in 2023 for Medicare beneficiaries. Starting July 1, for a one-month supply of covered insulin, the cap for cost-sharing is $35. And those on Medicare who receive their insulin through a pump won’t have to pay a deductible. This benefit is for people who use pumps supplied through Part B.
These changes to Medicare Part B premiums come as seniors also expect a larger increase in their Social Security benefits. The COLA (Cost of Living Adjustment) will be announced next month and will be significantly higher than in 2022. Whether or not it will keep up with inflation is unknown.
Our office continues to offer free consultations on Medicare in addition to free consultations for Elder law and estate planning matters. The number of choices and plans for Medicare can be overwhelming. Contact us today and learn how we can help you and your family.
This article was provided by Stephen J. Silverberg, Attorney at Law, Founder of the Law Office of Stephen J. Silverberg, P.C., one of New York’s TOP Elder Law and Estate Planning Law Firms. Attorney Silverberg and his firm are Members of the ElderCare Matters Alliance and have a Featured Listing on ElderCareMatters.com– America’s National Directory of Elder Care / Senior Care Resources to help families plan for and deal with the issues of Aging.
If you have additional questions about your family’s Elder Care / Senior Care Matters, you can count on ElderCareMatters.com (America’s National Directory of Elder Care / Senior Care Resources) to help you find America’s Top Elder Care / Senior Care Professionals. You can find Local Elder Care / Senior Care Experts by Searching our National Database by City and Service Category. (This Search feature is located on the homepage of ElderCareMatters.com).
The Elder Care / Senior Care Experts that are found on ElderCareMatters.com can provide you with the help you need in a total of 78 different Elder Care / Senior Care Services, including Elder Law, Estate Planning, Home Care, Medicaid Planning, Assisted Living, Care Management, Daily Money Management, Senior Living, Investment Advisory Services, Tax & Accounting Services, Wills & Trusts, Probate plus many other Elder Care Services.
We look forward to helping you plan for and deal with your family’s Issues of Aging.