As health costs rise so do Medicare prices at a faster rate than cost of living increases can contain. During your retirement years good healthcare is as important as ever. Medicare is primary health insurance during this time yet the cost may be too high. Medicare is a health plan for the elderly and disabled. Much of this specifc population is on a limited income which is usually only Social Security. The average Social Security monthly payment for 2019 is $1461. The average amount for Medicare can be up to one third of this average leaving less for food, rent, and other necessary living needs.
The standard part A premium for inpatient care may range from $240 to $437 and depends on the amount of Medicare taxes you have paid. If you have paid less than 7.5 years in Medicare taxes, the higher price is the premium price. The deductible for Part A hospital coverage is $1,364 for each benefit period. Coinsurance is $0 for first 60 days, $341 for next 30 days, and $682 for each "lifetime reserve day" (up to 60 days over your lifetime). The patient is responsible for all costs after lifetime reserve depleted.
The standard part B premium for outpatient care starts at $135.50 and is higher depending on income. The deductible for this part is $185 per year. After this has been met, payment for services is 20% of Medicare approved prices. This can be covered with extra insurance coverage through a Medicare Advantage Plan offered by commercial health insurance companies. If you fail to buy during the eligible enrollment periods, the premium may go up 10%.
Regardless of who is paid for what, the result is the same. Prices continue to increase and cover less. For example, many home health care costs are excluded. Home health care is important for those that are homebound or disabled. This cost should hardly be extra on a limited income.
Then there is Medicare part C (Medicare Advantage) and Medicare part D prescription coverage offered by regular insurance plans for an extra fee of course. The deductibles, copayments and coinsurance are part of this as well. Each insurere has their own plans and rates that add to your health maintenance if you can afford it. Payment for part A and B is too much for many; therefore, medication may be omitted especially if the choice is food or medicine.
The Medicare healthcare scare is real. What began as a "free" low cost comprehensive health program for the elderly has become a high cost less inclusive health plan for limited income retirees and peopele with disabilities. Medicare solvency concerns have led to predictions it will be in debt within the next fifty years or so. In the meantime, price increases with less coverage seems to be the answer for over 60 million people in their retirement years. Best health!
Medicare: Will It Be There When You Need It?
