Medicare Premiums & Deductibles Going Down; 2023 Enrollment started October 15

The Centers for Medicare and Medicaid Services have released the 2023 premiums, deductibles and coinsurance amounts for the Medicare Part A and Part B programs, and the 2023 Medicare Part D income-related monthly adjustment amounts.

The good news is the premiums and deductibles for Medicare are going down for 2023.

Medicare Part B Premium 

Medicare Part B premium will be $164.90 for 2023, a decrease of $5.20 from $170.10 in 2022. There is a higher premium rate for individuals with individual income of $97,000 or more. Those rates vary depending on the insured’s income.  As an example, the rate for  someone earning between $97,0000 and $123,000 will be $230 per month for Part B.  

Medicare Part B covers physician services, outpatient hospital services, certain home health services, durable medical equipment, and certain other medical and health services not covered by Medicare Part A. 

Premiums in 2022 included an increase to cover projected Part B spending for a new drug, Aduhelm. But senior citizens spent less on both Aduhelm and other items and services than expected, resulting in much more money left over in the Part B account of the Supplementary Medical Insurance Trust Fund. Money from that fund can be used to help hold down increases in Part B premiums.

Most Medicare enrollees pay the Part B premium whether they have original Medicare or a private Medicare Advantage Plan. 

Medicare Part B Deductible  

The annual deductible for all Medicare Part B beneficiaries is $226 in 2023, a decrease of $7 from the annual deductible of $233 in 2022.

There’s more good news for people with Medicare.

Those who take insulin through a pump won’t have a deductible and their out-of-pocket costs for insulin will be capped at $35 a month, starting July 1. The benefit will be available to people with pumps supplied through the durable medical equipment benefit under Part B.

Part A Cost

Most Medicare enrollees do not pay a monthly premium for Part A, which covers inpatient hospital, skilled nursing facility, hospice and some home health care services, but there is a deductible charged for each hospital stay.  

For 2023, the Part A deductible will be $1,600 per stay, an increase of $44 over this year.  

Medicare Savings Programs 

To help with their Medicare costs, low-income seniors and adults with disabilities may qualify to receive financial assistance from the Medicare Savings Programs (MSPs). The MSPs help millions of Americans access high-quality health care at a reduced cost, yet only about half of eligible people are enrolled. The MSPs help pay Medicare premiums and may also pay Medicare deductibles, coinsurance, and copayments for those who meet the conditions of eligibility. Enrolling in an MSP offers relief from these Medicare costs, allowing people to spend that money on other vital needs, including food, housing, or transportation. People with Medicare interested in learning more can visit https://bit.ly/2yY8xM4

 Medicare Open Enrollment Rungs Oct. 15 – Dec. 7, 2022

Medicare Open Enrollment for 2023 will begin on Oct. 15, 2022, and end on Dec. 7, 2022. During this time, people eligible for Medicare can compare 2023 coverage options between Original Medicare, and Medicare Advantage, and Part D prescription drug plans. Premiums and cost sharing information for 2023 Medicare Advantage and Medicare Part D plans will be released soon.

Medicare health and drug plan costs and covered benefits can change from year to year, so people with Medicare should look at their coverage choices annually and decide on the options that best meet their health needs.