Medicare Part B Premiums Lower Than Projected for 2012
- By BSTQ Staff
The U.S. Department of Health and Human Services (HHS) announced that Medicare Part B premiums in 2012 will be $15.50 lower ($99.90 vs. $106.60) than previously projected and the Part B deductible will decrease by $22 to $140. In addition, because of the Affordable Care Act, people with Medicare also receive free preventive services and a 50 percent discount on covered prescription drugs when they enter the prescription drug “doughnut hole.” In 2010, 1.8 million people with Medicare received cheaper prescription drugs, while nearly 20.5 million Medicare beneficiaries received a free annual wellness visit or other free preventive services.
The majority of people with Medicare have paid $96.40 per month for Part B since 2008, due to a law that freezes Part B premiums in years when beneficiaries do not receive a cost-of-living adjustment (COLA) in their Social Security checks. In 2012, these people with Medicare will pay the standard Part B premium of $99.90, amounting to a monthly charge of $3.50 for most people with Medicare. But this increase will be offset for almost all seniors and people with disabilities by the additional income they will receive for COLA. The average COLA for retired workers is about $43 per month.
HHS also announced a $1 increase in Medicare Part A monthly premiums, as well as a $24 increase in the Part A deductible. For more information about Medicare premiums and deductibles for 2012, go to www.csm.gov/apps/ media/fact_sheets.asp.