July 2, 2025 Breaking News, Latest News, and Videos

Families USA Executive Director Explains How To Understand Medicare Premiums:

At the end of May, the Medicare Trustees reported that Medicare costs are expected to grow more slowly than was previously expected.

One of the positive effects of this trend is that Medicare premiums are also expected to increase more slowly.

What does that mean for you and your family?

Here’s a look at the different types of Medicare premiums.

What do people mean by “Medicare premiums”?

When people talk about Medicare premiums, they’re often thinking of the Part B premium (Part B primarily covers doctor visits and other outpatient services).

For most beneficiaries, this premium is automatically deducted from their Social Security benefit each month.

In 2013, most people with Medicare pay a Part B premium of $104.90 a month.

What other Medicare premiums exist besides Part B?

Most people with Medicare do not pay a premium for Medicare Part A (which covers hospital and other inpatient care) because they or their spouse paid enough in Medicare taxes during their working years to qualify for premium-free Part A.

If you have a Part D prescription drug plan, you do pay premiums. In 2013, the national average for a Part D monthly premium is $40.18, but Part D premiums vary widely from plan to plan and region to region.

If you have a Medicare Advantage plan, your plan usually charges an additional premium.

Finally, you may have a private Medicare supplemental policy, either from a former employer or private company. The premiums for these policies vary significantly.

How are Medicare premiums determined?

By law, the Part B premium must cover 25 percent of Medicare’s Part B costs. When Medicare costs grow more slowly, so do premiums.

Part D premiums are similarly tied to the costs of prescription drugs. Medicare Advantage premiums are determined by a more complicated process, but they also reflect trends in costs. Because Part D and Medicare Advantage plans are run by private companies, premiums can vary a lot.

But even so, when health care costs rise more slowly, premiums usually do too.

Does everyone pay the same premium?

If your income is more than $85,000 (for just you, or $170,000 for you and your spouse), you pay an additional Part B premium.

How much more depends on your income: People with the highest incomes pay the most. Also, since 2011, the same high-income beneficiaries have paid higher Part D premiums.

Part A premiums and Medicare Advantage premiums are not affected by these rules.

If I have a limited income, can I get help paying my premiums?

For people with limited incomes and resources, the Part D Extra Help program covers all or most of their Part D premium, as well as other pharmacy costs.

You can find out if you qualify and apply online at www.socialsecurity.gov/prescriptionhelp or by calling 1.800.MEDICARE (1.800.633.4227).

Each state also has Medicare Savings Programs that cover Part B premiums for people with limited incomes. In some cases, these programs also cover other Medicare costs.

To learn more, call 1.800.MEDICARE and ask for a referral to your local state health insurance assistance program (SHIP), or go to this website www.familiesusa.org/resources/program-locator and click on your state.

What will happen to Medicare premiums in the future?

Medicare premiums depend greatly on what happens to health care costs, specifically Medicare costs, in the future.

No one knows for sure if the recent slowdown in Medicare costs will continue. The early indications from the Medicare Trustees’ report are that the trend should continue for now, and that the 2014 Part B premium will be unchanged from 2013.

For anyone with Medicare living on a fixed income – and that’s most people – this is encouraging news.

Families USA is the national organization for health care consumers, which has advocated for universal, affordable, and quality health care since 1982.

in News
<>Related Posts

More Commercial Uses Could Be Coming to RAND Building

July 1, 2025

July 1, 2025

Amendment Unlocks New Opportunities, Secures $5.5 Million in Community Benefits The Santa Monica Planning Commission unanimously approved an amendment to...

People are Using Palisades for “Disaster Tours.” Local Officials Are Trying to Stop Them

July 1, 2025

July 1, 2025

A new motion introduced to City Council requests a coordinated strategy from LADOT, the Los Angeles Police Department, and the...

Santa Monica Favorite Esters Rebrands as Esters Wine Shop & Oyster Bar

June 30, 2025

June 30, 2025

New Concept Launches With French-Spanish Flair and Free Bubbles Esters Wine Shop, the fave Parisian-style wine bar in downtown Santa...

Letter to the Editor: Santa Monica’s Great Park: It’s Time to Deliver on 100 Years of Promise

June 30, 2025

June 30, 2025

Santa Monica stands at the edge of history. For nearly a century, residents have consistently supported turning the airport land...

Why Nordstrom Says It’s Closing Its Santa Monica Place Location

June 30, 2025

June 30, 2025

A Nordstrom spokesperson explained the closure as a strategic realignment Nordstrom confirmed its decision to close its Santa Monica store...

Three-Bed Palisades Highlands Townhouse Hits Market for $1.7M

June 30, 2025

June 30, 2025

The Mediterranean-style property, located at 1529 Michael Lane, is part of a 71-unit community A remodeled 1,919-square-foot townhouse in the...

Six-Bed Mar Vista Hilltop Home Under Construction Lists for $5.3M

June 30, 2025

June 30, 2025

The private backyard is complete with a pool, spa, fire pit, built-in BBQ, and areas for outdoor dining A stunning...

(Video) Getty Villa Reopens Six Months After Dodging Destruction of Palisades Wildfires

June 29, 2025

June 29, 2025

With the reopening also comes a new exhibit, “The Kingdom of Pylos” Getty Villa Reopens Six Months After Dodging Destruction...

Free Virtual Planetarium Shows Coming to SMC in July

June 29, 2025

June 29, 2025

The virtual format is in place as construction of the new SMC Planetarium and Observatory nears completion The Santa Monica...

Santa Monica Adopts $793.3M Budget for FY25-27, Prioritizing Housing and Safety

June 29, 2025

June 29, 2025

The budget preserves core services and invests in major projects, including over $1 billion in hotel investments The Santa Monica...

Iranian Pastor in West L.A. Speaks as Church Rocked by Immigration Raids 

June 28, 2025

June 28, 2025

Five Detained as Fear Spreads Through Persian Christian Faith Community  Fear has spread through a West Los Angeles congregation after...

California Doubles Down on Hollywood: $750M in Tax Credits Approved for Film and TV Industry

June 28, 2025

June 28, 2025

State Lawmakers Back Major Expansion of Production Incentives, Raising Job Projections Los Angeles’ film and television industry is poised to...

Park: “Our Water Infrastructure Must Be Emergency-Ready Every Day”

June 28, 2025

June 28, 2025

Councilwoman expressed cautious relief at the news but emphasized the need for robust infrastructure The Los Angeles Department of Water...

Washington Square Pizza Opens to the Public

June 28, 2025

June 28, 2025

New York Style Pizza “By-The-Slice” Now at the Beach By Nick Antonicello  Washington Square Pizza formally opened its doors today...

California Allocates $5B for Road Repairs, Transit Expansion

June 28, 2025

June 28, 2025

The funding aims to improve road safety, reduce traffic congestion, and promote cleaner transportation California is investing nearly $5 billion...