(LISTEN - Audio transcript from video)
Today I’m talking about Medicare rate and Part B deductible changes for 2022.
So what does this mean?
Part B of Medicare is the 80 percent that Medicare covers for medical purposes, doctors, specialty visits like radiation, chemotherapy, lab tests etc. It has a premium associated with it. If you are drawing social security and receiving your social security benefit you'll see that's already been deducted. You may be paying out of pocket because you haven't drawn social security yet, which is an out-of-pocket expense usually paid on a quarterly basis.
In any given year only 9-11% of people need to change plans, so chances are you won’t need to do anything.
This is also the period during which people on Medicare Advantage Plans can choose to drop their Medicare Advantage Plan to return to Traditional Medicare.
Any plan changes made during this AEP will go into effect on January 1st, 2022.
In 2022 Part B is increasing to $158.50
Largest increase we've seen in six years
In 2021 that amount was $148.50. in 2022 all estimates are showing it's going to be $158.50 which is the largest increase we've seen in about five or six years.
Part b deductible is going from $198 to $203. Those are the estimated numbers and not so much of an increase there.
If you have a Medicare Advantage plan some plans have zero premium and other plans have a little bit of premium associated with them. Different from a Medicare supplement plan but those are actually going down a little bit. The national average was around $21 to $22 and it's going down to $19 so a little bit of a break there.
In most prescription drug plans (PDP) there is a deductible built in that you have to meet before some of the coverage kicks in and in 2021 that number was $435. Now the deductible is going to $445 for 2022. Those are the estimates that I have thus far.
As for carrier increases for Medicare supplement plans we're not exactly sure but typically they're 2 to 3 percent and sometimes as high as 4, 5 to six percent. It depends on the economy and what's going on that year and now with Covid it's really hard to say what exactly is going to happen but you can always expect a rate increase. What else is new right? However if you have a Medicare advantage plan and you do have a zero premium plan there is no rate increase. Your max out of pocket expense may be a little bit more or a little bit less depending on the plan and the changes for the next planned period which is 2022 starting January 1st.
AEP is the time of year called annual election period from October 15 through December 7th where you can switch, make plan changes or disenroll from a Medicare advantage plan or change your prescription drug plan. If with a Medicare advantage plan, the drug plans are built inside the plan under one umbrella so to speak. If you have a Medicare supplement plan, you typically have a second plan called a prescription drug plan (a pdp) for your drug coverage and this is the time of year during AEP you can change that plan or modify it. I Suggest that you take a look at that and if you have someone who helps you with this make sure you get together with them.
Step 1 of 2: Watch this video ‘Medicare Update 2022 Plan B Rate & Deduction Increases’. Please do this before anything else as the video contains important rate and deduction changes.
Step 2 of 2: Once you've watched the video, call, text or schedule an online appointment for additional information and a free consultation. (949) 216-8459
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