The Centers for Medicare and Medicaid Services (CMS) recently announced that Medicare’s Part B monthly premium for 2022 will be $170.10, compared with $148.50 in 2021. This is the largest increase in Medicare’s history.
CMS gave three reasons why this increase is so significant for 2022:
While this 14.5% increase is large, CMS notes that since the Social Security cost-of-living adjustment (COLA) is at 5.9% (an estimated average of $71.40 per person), most Social Security recipients will see a net increase in their monthly check.
Medicare Part B covers outpatient medical care. It generally covers two types of medical services: medically necessary services and supplies and preventive services. Some examples include:
In addition to the Medicare Part B premium increase, the annual Part B deductible is rising $30 in 2022, making it $233 as opposed to 2021’s $203.
The Medicare Part A inpatient deductible will increase by $72 in 2022, making it $1,556, up from $1,484 in 2021. Medicare Part A covers hospital insurance such as hospital stays, skilled nursing care, hospice, home health services, and skilled nursing care. Though this deductible is increasing, 99% of Medicare beneficiaries don’t pay a Part A premium.
If you have questions or concerns about the Medicare Part B premium increase for 2022, please schedule a call with a client advisor. If your current plan no longer meets your needs or budget, now’s the time to consider switching to a Medicare Advantage plan, which has low or $0 monthly premiums, fixed costs, and great additional benefits.
If you are new to Medicare and have questions, our advisors in Medicare are here to help you navigate your health coverage. We offer Medicare guidance at no-cost to you. Schedule a call to get your Medicare questions answered!