Understanding the 3 Big Changes to Medicare Coming in 2023
Medicare undergoes changes every year. Staying on top of them can help you make the best determinations for your health in the coming year. Sometimes the changes are small and inconsequential, but often they involve things that will directly impact you, such as bumping up a price or changing eligibility standards.
Next year will be no different. Educate yourself about three changes to Medicare coming next year so that you can make informed decisions about switching plans during the open enrollment period, which runs through December 7.
As you probably know, there are different Medicare plans. The changes detailed here deal with Part A and Part B; Medicare also includes a Part C and a Part D.
1. Hospital Care Will Have a Higher Inpatient Deductible
Those enrolled in Medicare Part A aren’t charged a premium for coverage. However, they do have to pay for deductibles and coinsurance related to the plan, like those incurred by hospital care. It’s not going up by a lot, but in 2023, the standard inpatient hospital deductible will increase by $4, to $1,600.
You will see a more significant bump for daily coinsurance if you land in the hospital for a longer stay. Those costs are tiered according to how long your stay lasts, and both plans will go up. People who have a hospital stay between 61 and 90 days will pay $400 for daily coinsurance, up from $389 this year.
And for those whose hospital time goes beyond 90 days, the daily coinsurance price increase will be even greater. It will rise from $778 to $800.
2. A New Standard for the Part B Premium
Medicare Part B has a standard premium each month, and in 2023, the cost is actually going down. Yes, you read that correctly! While we’re used to rising prices for just about everything, next year will be $5.20 cheaper per month than this year for the lowest income bracket, with the price dropping to $164.90.
The change comes a year after Part B premiums had a larger-than-usual increase tied to a projection of higher spending on a new Alzheimer’s drug. They soared by a sharp 14.5%. But it turned out that the drug didn’t warrant quite such a jump. Actual costs for Part B were not as high as expected this year, hence some savings are flowing back to enrollees.
3. Part B Annual Deductible Will Decline
Finally, the ups and downs in charges also apply to the Part B annual deductible. It’s not a huge change, but next year the deductible will fall, from $233 to $226.
In the end, you may pay a few bucks more or a few bucks less than the previous year, depending on your choices. The changes aren’t as drastic as the Part B monthly premium rise last year.
Not sure what the changes mean for you or still searching for the right Medicare plan? Let the experts at Go Comprehensive help. Get in touch with Jay today to discuss your Medicare open enrollment questions.