Medicare Part B Premiums To Rise 13.2% Next Year

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Specializes in Vents, Telemetry, Home Care, Home infusion.

from kaisernetwork.org [sep 19, 2005]

medicare part b premiums to rise 13.2% next year, officials announce

the monthly premium for medicare part b, which pays for physician visits and some outpatient hospital services, in 2006 will increase by $10.30 to $88.50, [color=#394b6b]cms officials announced friday, the [color=#394b6b]ap/san francisco chronicle reports (freking, ap/san francisco chronicle, 9/16). the current premium is $78.20 monthly, while it was $66.60 in 2004 and $58.70 in 2003 (pear, [color=#394b6b]new york times, 9/17). under federal law, medicare part b premiums must cover 25% of part b costs, while taxpayers pay the remaining 75% (pugh, [color=#394b6b]knight ridder/contra costa times, 9/17). the 13.2% increase for 2006 is approximately in line with cms actuaries' predictions in april.

in a news release, cms attributed the increase to rapid growth in physician office visits, use of laboratory tests and other medical services and hospital outpatient services ([color=#394b6b]cq healthbeat, 9/16). the volume of physician services increased 6.3% last year and is expected to increase 5.6% this year. use of hospital outpatient services has increased at a similar rate (ap/san francisco chronicle, 9/16). a requirement to increase assets in the part b trust fund also contributed to the increase, cms officials said (cq healthbeat, 9/16).

in addition, part of the increase is attributable to higher payments to medicare hmos, according to the new york times (new york times, 9/17). the deductible for medicare part b will increase from $110 this year to $124 in 2006, the wall street journal reports. the deductible increase was required in the 2003 medicare law. in addition, the deductible for a hospital stay of 60 days or less will increase $40 to $952 in 2006 (lueck, wall street journal, 9/17).

cms said in a statement that many beneficiaries will have lower out-of-pocket costs in 2006 because of increased coverage under the new prescription drug benefit. the statement also said that financial assistance provided for in the new prescription drug benefit means about 25% of medicare beneficiaries in 2006 will pay little or no premium for either medicare part b, the new drug benefit, or both (cq healthbeat, 9/16)....

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from kaisernetwork.org [sep 19, 2005]

medicare part b premiums to rise 13.2% next year, officials announce

the monthly premium for medicare part b, which pays for physician visits and some outpatient hospital services, in 2006 will increase by $10.30 to $88.50, [color=#394b6b]cms officials announced friday, the [color=#394b6b]ap/san francisco chronicle reports (freking, ap/san francisco chronicle, 9/16). the current premium is $78.20 monthly, while it was $66.60 in 2004 and $58.70 in 2003 (pear, [color=#394b6b]new york times, 9/17). under federal law, medicare part b premiums must cover 25% of part b costs, while taxpayers pay the remaining 75% (pugh, [color=#394b6b]knight ridder/contra costa times, 9/17). the 13.2% increase for 2006 is approximately in line with cms actuaries' predictions in april.

in a news release, cms attributed the increase to rapid growth in physician office visits, use of laboratory tests and other medical services and hospital outpatient services ([color=#394b6b]cq healthbeat, 9/16). the volume of physician services increased 6.3% last year and is expected to increase 5.6% this year. use of hospital outpatient services has increased at a similar rate (ap/san francisco chronicle, 9/16). a requirement to increase assets in the part b trust fund also contributed to the increase, cms officials said (cq healthbeat, 9/16).

in addition, part of the increase is attributable to higher payments to medicare hmos, according to the new york times (new york times, 9/17). the deductible for medicare part b will increase from $110 this year to $124 in 2006, the wall street journal reports. the deductible increase was required in the 2003 medicare law. in addition, the deductible for a hospital stay of 60 days or less will increase $40 to $952 in 2006 (lueck, wall street journal, 9/17).

cms said in a statement that many beneficiaries will have lower out-of-pocket costs in 2006 because of increased coverage under the new prescription drug benefit. the statement also said that financial assistance provided for in the new prescription drug benefit means about 25% of medicare beneficiaries in 2006 will pay little or no premium for either medicare part b, the new drug benefit, or both (cq healthbeat, 9/16)....

you forgot the penalty for failure to enroll in medicare's prescription coverage, the cost of the coverage and the deductable. i may be forced to enroll just to avoid the penalty.

grannynurse

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Specializes in med/surg, telemetry, IV therapy, mgmt.

Thanks for posting this. I've been wondering how Medicare is possibly going to pay for the new Part D (prescription) benefit. With the switch to outpatient services some providers have to be hurting from the Medicare reimbursement. I don't know how some of the elderly can afford healthcare anymore.

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Hey, we need to pay for that tax cut for the wealthy somehow......

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I am on Medicare because of the kidney transplant. I got the 2006 "Medicare & You" book. Some of the premium will be paid by the State because of Medicaid. However, I got a notice from Medicaid that they'll no longer pay for the part B premiums. How dumb can they be? It's much economic sense for them to pay the part B premiums than to pay 100% for medical services! Unless they want me to pay the part B premiums??

It just make your wonder how the gov't keeps running on empty?!?

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Specializes in Vents, Telemetry, Home Care, Home infusion.
I got a notice from Medicaid that they'll no longer pay for the part B premiums. How dumb can they be? It's much economic sense for them to pay the part B premiums than to pay 100% for medical services! Unless they want me to pay the part B premiums??

Medicaid cuts are occuring in almost every state due to rising overall cost of care. They are closely looking at income/assests and cutting people off of services.

Yes, they are expecting YOU to now pay part B premiums which you should do. You have need for chronic meds that will be covered under the new Medicare Part B benefit. Therfore, Medicaid won't be paying for ANY MED that is covered under Medicare.

In PA, dual enrolled beneficiaries (receive both Medicare AND Medicaid) will AUTOMATICALLY WITHOUT CHOICE be enrolled in a Medicare HMO of the state's choosing effective Jan 1, 2006.

PA's Medicaid plan has changed benefits for those who are in the "General

Assistance" category. Instead of being able to just drop in at your local ER and be admitted for a serious health issue, members will be limited to

TWO hospital admissions, ONE rehab stay and 30 days psych stay effective 10/1/05.

Can you say pass the cost onto hospitals??? Now can you track # admissions--- NOTHING set up yet on state website.

Insurance verification getting uglier Jan/Feb 06. Might need to call in sick ;)

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Hey, we need to pay for that tax cut for the wealthy somehow......

Yeah, can you believe the nonsense of letting someone keep their hard earned income.

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It's true that if medicare eligibles do not enroll in some kind of part d plan, either directly through Medicare or through a licensed program through a Medicare HMO, there will be a lifetime penalty.

I work in customer service for a medicare replacement HMO product and I spend almost all day every day explaining Medicare part D to our members.

(It's a terrible job, by the way.)

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