Do you need an insurance policy to help cut
down on your growing Medicare costs in 2016?
Find Affordable
Medicare Insurance
It’s free and without any obligations

Medicare premiums to jump 50%?

30% of Medicare enrollees including new enrollees may be hit with higher premiums. Laws now require Medicare to recover 25% of Part B expenses for covered medical equipment, outpatient and doctor services.

These expenses are increasing, which is causing Medicare to hike their premiums. Normally, enrollees with Part B will pay higher premiums.

However, this is  not expected to be the case in 2016. This is because most Part B premiums are paid to people via monthly Social Security payments. They are called hold harmless provision.

According to this rule Medicare enrollees who pay low premiums this way about 70% of all enrollees can not be required to pay this premiums will increase next year, which are larger than the amount of the annual cost-of-living adjustments in his or her Social Security benefits

However, Medicare must still recover that 25% of Part B expenses somehow. They have no choice but to look to the other 30% of enrollees to pick up the entire tab for higher Part B premiums. This includes seniors who have high incomes, those new to Medicare, and those who are not paying for Part B through Social Security.