Will My Medicare Premiums Increase Each Year?

Medicare costs typically include deductibles, copays, coinsurance, and premiums. 

Your Medicare premiums usually do increase each year. Every year, premiums, deductibles, and coinsurance costs are adjusted based on the Social Security Act. 

For example, the standard monthly premium for Medicare Part B in 2020 was $144.60, and in 2021 it is $148.50. The annual deductible for Medicare Part B also increased, from $198 in 2020 to $203 in 2021. 

Premiums usually do not increase drastically, but you can expect them to increase each year.

What If I Can’t Afford The Costs of Medicare?

If you are not able to afford the costs of Medicare, you still have options, such as applying for a Medicare Savings Program. These programs will help you pay for your premiums, deductibles, copayments, and coinsurance, but do keep in mind that each program is different. You must also meet certain resource and income limits to qualify for these programs.

The following are the four Medicare Savings Programs available:

  • Qualifying Individual – This program will help provide coverage for your Part B premiums. You will have to apply every year to get the coverage from this program as it’s on a first-come, first-served basis. 
  • Qualified Medicare Beneficiary – This program will provide coverage for your Part A and B premiums, deductibles, copayments, and coinsurance. You won’t have to apply every year for this program like you do with the Qualifying Individual program.
  • Specified Low-Income Medicare Beneficiary – This will provide coverage for your Part B premiums. 
  • Qualified Disabled and Working Individuals – This program helps pay your Part A premium. You could qualify for this program if you:
    • Are under 65, disabled, and are employed
    • You lost your disability benefits from Social Security
    • You aren’t receiving medical assistance from your state, but you meet the resource and income limits that are required by the state

Another important factor to note is that if you do qualify for either the Qualifying Individual, Specified Low-Income Medicare Beneficiary, or Qualified Medicare Beneficiary programs, you will automatically be qualified for the Extra Help Program. This will help provide coverage for your Medicare Part D prescription drug plan.

Get The Medicare Coverage You Need at Prices You Can Afford

Not sure what Medicare coverage you need and can afford? At Temmen Insurance, our licensed Medicare insurance agents are trained to educate you on your Medicare options and help you decide on the best coverage for your unique situation. Medicare can be complicated, but we make it simple for you! Contact us today for a free quote.

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