How Will The Medicare Deductibles Work In 2018?
If you are a Medicare beneficiary you are considered to be in great company. The social-insurance program is currently used by 58 million Americans that includes women and men of 65 years of age and older, along with other people under the age of 65 who have ESRD (end-stage renal disease) or permanent disabilities or ALS (Amyotrophic Lateral Sclerosis).
With this large membership pool, Medicare spending has the ability to take a massive financial toll on the healthcare system in the U.S. The CMS (Centers for Medicare and Medicaid Services) projected that the total Medicare spending in the year 2016 would reach up to $672.6 billion. However, the Kaiser Family Foundation went onto report that this figure topped $675 billion in the previous year, which represent around 15% of the total amount of the federal budget.
It is very clear from these figures that Medicare spending contributes to a noteworthy portion towards the overall U.S. healthcare spending and this will continue to rise. To date a number of exhaustive measures have been taken in order to reduce and control Medicare co pays, premiums, deductibles along with other costs. This ensures that the millions of beneficiaries’ healthcare services and needs are protected along with keeping the healthcare spending of the government under control.
The Medicare deductibles for the year 2018 have not yet been finalized completely and may still undergo changes dependent on the COLA (cost-of-living adjustment). While there will be increases for the enrollees’ Medicare costs, these will still be lower. It has been projected that an average for the base premium for Medicare part D will be set at $33.50 in the year 2018 which is lower than 2017. While the Part D annual deductible will increase by $5 to $405 in the year 2018. The income brackets are also set to change in 2018, which means the highest-income tiers for the Medicare enrollees will also attract higher costs.
For the previous two years, Medicare Trustees have predicted that 30% of the Part B members could be facing dramatic price increases over 2016 and 2017 for Medicare premium and deductible amounts due to 3 factors which include the Medicare-related debt in past years, reserving funds for the future years’ coverage and the lack involved with COLA (cost-of-living adjustment) for Social Security benefits.
However, when Congress passed the Bipartisan Budget Act of 2015, which came into effect on the 2 November 2015, it resulted in that enrollees only experienced a 16% increase in their Part B 2016 deductibles and premiums.
We recommend the following resources for the Medicare 2018 supplement plan enrollment period: