Costs for Medicare Advantage Plans
If you’re in a Medicare plan, review the “Evidence of Coverage” (EOC) and “Annual Notice of Change” (ANOC) your plan sends you each fall. The EOC gives you details about what the plan covers, how much you pay, and more. The ANOC includes any changes in coverage, costs, or service area that will be effective in January.
Medicare 2017 costs at a glance
The standard Part B premium amount in 2017 is $134 (or higher depending on your income). However, most people who get Social Security benefits pay less than this amount. This is because the Part B premium increased more than the cost-of-living increase for 2017 Social Security benefits. If you pay your Part B premium through your monthly Social Security benefit, you’ll pay less ($109 on average). Social Security will tell you the exact amount you’ll pay for Part B in 2017. You’ll pay the standard premium amount if:
Medicare Advantage Premiums: Important Things You Need to Know
Premium Payments to Medicare: if you receive Social Security, Office of Personnel Management, or Railroad Retirement Board benefits, Medicare will automatically deduct your Part B premiums from your benefits check. If you don’t receive these benefits, you will receive a bill called ‘Notice of Medicare Premium Payment Due’. You can then pay by mailing a check, use your bank’s online billing to make payments every month, or sign-up for Medicare’s bill pay to have the premium come out of your bank account automatically.
How Medicare Advantage Plans work
Medicare Advantage Plans, sometimes called “Part C” or “MA Plans,” are offered by private companies approved by Medicare. If you join a Medicare Advantage Plan, you still have Medicare. You’ll get your Medicare Part A (Hospital Insurance) and Medicare Part B (Medical Insurance) coverage from the Medicare Advantage Plan and not Original Medicare.
Compare Medicare Advantage Plan Premiums and Costs
Remember that a Medicare Advantage plan may have more costs than its monthly premiums alone. Beneficiaries may have copayments, coinsurance, and deductibles associated with doctors’ visits, hospital stays, and other health-care services. Beneficiaries may also have out-of-pocket expenses associated with prescription drugs, including deductibles and copayments. In general, Medicare Advantage plans have a maximum allowable deductible that they can charge, but they also have the option to reduce or eliminate this deductible.
Medicare Advantage Insurance Costs
In addition to paying your Part B premium, you may also be responsible for paying a Medicare Advantage premium. Some Medicare Advantage plans may have premiums as low as $0, while other plans may have higher monthly premiums, You may want to compare all available plan options in your area to find a plan with costs and benefits that meet your needs. Remember, even if your service area offers a Medicare Advantage plan with a $0 premium, this doesn’t mean that that plan won’t have other costs. You’ll still need to pay the Medicare Part B premium, along with any copayments, coinsurance, or deductibles required by the Medicare Advantage plan. Always be careful to evaluate all costs related to any Medicare Advantage plan you’re considering, not just the premium.
Medicare Advantage premiums remain stable in 2017 with better plans
Since the enactment of the Affordable Care Act through July 2016, more than 11 million seniors and people with disabilities have received savings and discounts in the coverage gap of over $23.5 billion on prescription drugs, an average of $2,127 per beneficiary thanks to the law. Medicare Open Enrollment for 2017 Medicare health and drug plans begins on October 15, 2016 and ends on December 7, 2016.
2017 Medicare Part D & Medicare Advantage Premiums and Deductibles
Nationally, the average premium for Medicare Advantage plans will be slightly lower in 2017 as compared to 2016 ($62.48 versus $64.92). This average takes all U.S. Medicare Advantage plans into consideration and does not weight the averages by enrollment. 29% of these 2017 Medicare Advantage plans will have a $0 premium (though enrollees must continue to pay their normal Medicare Part B premium obligations). The average drug deductible amount will rise marginally to $164.71 in 2017 Medicare Advantage plans from $162.67 in 2016.