Do Medicare premiums increase each year?
The cost of Medicare is decided by the government. This costs will vary from year to year and is generally based on 2 factors: Medical inflation and the age of the individual being covered.
The benefits covered by the plan you chose generally don’t change much from year to year. However, what may change from year to year is the amount you pay for premiums, co-pays, and deductibles. Each of these are adjusted according to the Social Security Act and are generally based on the 2 factors listed above.
Most companies also have a rating system that affects the premiums in Medicare Supplements. These can be based upon one of the following:
- Attained Age- The cost of the premium at initial enrollment is based on your age and will continue to rise as you get older.
- Community Rate- The cost of the premium is charged to everyone regardless of age.
To answer the original question, for the most part the answer is yes. With Medical inflation and our age being the two key factors, increasing costs are a natural progression. We aren’t getting any younger, and healthcare costs continue to rise. However, that is not always the case. Often, we are able to pin point changes within someone’s plan, or find a Medicare plan that better fits that person’s needs – at a lower cost.
For professional assistance in figuring out what plan is best for you, at NO additional cost – please contact Lori Good at Beck Insurance Agency today for an appointment. We can discuss plans and how they are rated and help find the one that is right for you. Call Beck Insurance Agency at 419-446-2777 in Archbold, 567-406-3006 in Whitehouse, Ohio, send an email to email@example.com, or click here to submit your request!