by
Carl Hampton
09/13/2006
With the recent increase in premiums for
Medicare, for most the payments have jumped
up by 5.6% to $93.50 monthly or ($1,122 a
year). Overall though most agree, this
increase in premiums is a lot smaller than
many expected. Almost all the Insurance
companies were predicting that the premium
increases would hit high double digits, but
fortunately for our senior citizens the
volume of services and tests that are
normally ordered by doctors for their
patients through Medicare have been slowing
down.
Even though the premiums have increased at a
smaller than expected rate, there is a down
side for the wealthier beneficiaries. Those
Medicare holders that are a little more
financially stable, will end up paying more
for their Medicare Part B Plan.
The Medicare Part B Plan covers their
doctor's visits and outpatient hospital
care. For those who make $80,000 a year (or
a couple that makes over $160,000 a year),
the payment will change to $106 a month.
That increases their yearly payment to
$1272, a fairly small percentage of that
level of income. As for the seniors that
make more than $80,000 a year (or a couple
that makes over $160,000 a year), the
payments are increasing to $162 a month (or
$1,944 a year). The Center of Medicare and
Medicaid Services states that those who pay
the most will actually get services worth
much more. In addition, these higher
payments will reduce the governments costs
by $20 Billion dollars over the next decade.
So those that are wealthier will not only be
receiving a much better service but they are
also helping the government by cutting the
costs.
For most the increase in premiums is the
lease of their worries, many are still
trying to understand all the recent changes
to the system. Which Plan best suites your
needs is far more important, choosing the
wrong Plan could land up costing you many
thousands of dollars.
Have an opinion or a question you would like
me to answer, then write me!
http://www.CarlHampton.com
