Changes Are Coming to Medicare in 2023 — Has Your Coverage Changed?
In total, approximately 64 million Americans are enrolled in Medicare, an essential healthcare program for retirees. As with most medical plans, Medicare experiences changes regularly, and 2023 is no exception. Benefits may shift, and costs may vary, so staying on top of what’s new to Medicare is vital.
There are some positives to Medicare changes in 2023. Specific prices actually declined, and for some, it may offset increases in other areas. However, exactly how a Medicare user is impacted does vary depending on their exact plan, how frequently they use their coverage, and other factors. Here’s an overview of the Medicare changes for 2023.
Reduced Part B Premiums
In 2023, premiums for Medicare Part B are declining. During 2022, the standard monthly premium was set at $170.10 per month. For 2023, the cost is down by $5.20, bringing the premium to $164.90. While the difference is slight, it’s still a savings, which many likely appreciate since costs are rising in so many other spending categories.
It’s also critical to note that high-earning Medicare Part B enrollees may also end up with a lower premium price. How much they’ll pay does vary depending on their individual income level. However, the starting rate in 2022 was $238.10, while the starting rate in 2023 is $230.80, which is a difference of $7.20.
Increased Part A Costs
For Medicare Part A, costs are primarily rising in 2023. For anyone who isn’t eligible for free Medicare Part A, monthly premiums went up from $499 in 2022 to $506 in 2023, representing a $7 increase.
Additionally, costs associated with specific services went up for all Medicare users. For instance, the inpatient hospital deductible rose from $1,556 in 2022 to reach $1,600 in 2023. Daily coinsurance payments for days 61 through 90 went up from $389 in 2022 to $400 in 2023, the coinsurance for skilled nursing hit $200, and the lifetime reserve days daily coinsurance reached $800.
Changing Deductibles
Medicare enrollees in 2023 are also seeing a decline in their deductibles. For Medicare Part B, the deductible was $233 in 2022, but it’s fallen to $226 in 2023, resulting in a $7 savings.
For Medicare enrollees using Medicare Advantage Plans or who signed up for Medicare Part D, lower deductibles are also present in 2023 in some cases. However, whether that occurs depends on several factors, such as the exact plan and where the enrollee resides.
It’s also critical to note that the federal government did increase the maximum deductible for Medicare Part D in 2023. It went from $480 in 2022 to $505 in 2023, so some may see their deductibles rise instead.
Capped Insulin Copays
As part of the Inflation Reduction Act of 2022, copays on insulin for Medicare enrollees were capped at $35. Even if they’ve yet to reach their deductible, any covered insulin will cost no more than the cap, and that will apply through 2025. Starting on July 1, 2023, Medicare Part B enrollees using insulin through a pump that’s acquired through the durable medical equipment benefit won’t have to pay a deductible relating to it, either.
