CMS unveiled 2017 premiums and deductibles for Medicare Part A and Part B programs, with high earners seeing lower hikes than originally predicted.
Here are six things to know about next year's Medicare Part A and Part B premiums and deductibles.
1. About a third of beneficiaries will see their standard monthly Part B premium – which covers physician and outpatient hospital services – increase 10 percent to $134 next year, up from $121.80 this year. The 30 percent of beneficiaries facing the increase include high earners, Medicare beneficiaries who deferred or are ineligible for Social Security benefits, new Medicare enrollees and low-income beneficiaries whose premiums are covered by state Medicaid programs, according to The Wall Street Journal.
2. The 10 percent hike is lower than the federal government's board of healthcare trustees June prediction of a 22 percent premium increase for high earners.
3. The remaining 70 percent of beneficiaries will see a 3.9 percent increase on Part B premiums, up from $104.90 to $109.
4. HHS Secretary Sylvia Mathews Burwell mitigated the projected premium increases by dipping into Medicare Part B reserves, according to CMS.
5. Annual Medicare Part B deductibles for all beneficiaries will increase 10.2 percent to $183 next year, up from $166 this year.
6. Deductibles for Medicare Part A – which covers inpatient hospital services – will increase $28 to $1,316 per benefit period next year.