Medicare will experience some of the most significant changes in its history.
The purpose of these adjustments is to make it easier for millions of Americans to access quality healthcare that they can afford.
And let’s face it, that needed to happen!
Every beneficiary and healthcare provider must understand them with there now being over 65 million enrollees, affecting everyone from a physician recruiting firm, doctors, to the patients.
Read on to learn.
More Medicare Advantage Enrollment
The popularity of Medicare Advantage (MA) plans has been rising, with over half of all beneficiaries under Medicare currently registered in programs.
This trend will continue through 2024, with several new requirements to improve plan quality and transparency.
One major change includes brokers’ and insurance agents’ commissions being standardized. CMS suggests a flat fee of $642 for any broker who enrols MA plan beneficiaries.
That should eliminate disparities and prejudices that could exist, ensuring that users get unbiased counsel on selecting their preferred plans.
MA plans must inform members about unused extra services midway through the year.
Generally, it ensures that subscribers know what other benefits, like dental, vision, or hearing aids, are available within a given plan.
Similarly, behavioral health services will expand by allowing licensed marriage and family therapists and mental health counselors to enrol in Medicare as providers for patients.
Improved Prescription Drug Benefits
One of the most significant developments occurring in 2024 concerns putting in place Part 2 of the historic Drug Act passed in 2022, aimed at reducing out-of-pocket costs for prescription drugs.
Part of it means that once someone reaches ‘catastrophic’ spending ($8,000), beneficiaries with Medicare Part D will not have co-pays for the remaining months of that year, making drugs affordable to seniors.
Further still, the Extra Help program’s limits are being increased regarding eligibility criteria among low-income individuals who depend on it for their drug costs.
At present, if their earnings do not exceed 150% of the federal poverty level (as an individual, $21,870), they can receive this aid, broadening its reach to millions of beneficiaries previously excluded.
In continuation of previous years’ efforts to halt the soaring prices of essential medications like insulin, the cost will top $35 per month.
Changes in Medicare Part B Costs
For 2024, there will be increased premiums and deductibles under Medicare Part B, which pays for outpatient services, preventive care, and some home health services.
The standard monthly premium is increasing from $164.90 to $174.70.
However, this increase is partially offset by the Social Security COLA, which means beneficiaries receive roughly an extra $59 monthly thanks to the Social Security adjustment on payments.
Another adjustment comes regarding high-income earners within different brackets. People with earnings between 103K and 129K annually will pay Part B charges amounting to $244.60 a month.
An additional charge will be seen in Part B’s annual deductible, which now stands at $240 instead of last year’s figure of $226. It’s not too much of a difference, but people will moan.
Still, CMS is implementing steps aimed at helping beneficiaries manage their healthcare costs more efficiently, even though there would be increases in their premiums and deductibles.
Changes to Medicare should make it more affordable, but let’s see what happens. The US has the most expensive healthcare packages in the world, so something must happen to make healthcare more affordable.
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