The Centers for Medicare & Medicaid Services (CMS) announced the 2024 premiums, deductibles, and coinsurance amounts for the Medicare Part A and Part B programs, as well as the 2024 Medicare Part D income-related monthly adjustment amounts, which will take effect on October 12, 2023. The Medicare Savings Programs (MSPs) assist over 10 million people with the cost of Medicare premiums and other expenses, and a recent rule change will make it more affordable for approximately 860,000 individuals to enroll. The low-income subsidy (LIS) for Medicare Part D will also help pay for the premium and decrease the cost of prescription drugs for eligible beneficiaries.
Medicare Part B covers various medical services, such as outpatient hospital services, durable medical equipment, and home health services. Each year, Medicare Part B rates are determined based on the Social Security Act. The standard monthly premium for Medicare Part B enrollees will be $174.70 in 2024, up from $164.90 in 2023. The annual deductible for all beneficiaries will be $240 in 2024, an increase from $226 in 2023. The increase in rates is mainly due to projected increases in health care spending and the remedy for the 340B-acquired drug payment policy for the 2018-2022 period. In addition, starting in 2023, eligible individuals who do not have certain types of insurance coverage can opt to continue Part B coverage of immunosuppressive drugs for a premium, which will be $103.00 in 2024.