On November 8, 2019, the Centers for Medicare & Medicaid Services (CMS) released the 2020
premiums, deductibles, and coinsurance amounts for the Medicare Part A and Part B programs.
Annual Medicare rates are adjusted according to the Social Security Act. The standard Medicare
Part B monthly premium will be $144.60 for 2020, up $9.10 from 2019. The annual Medicare Part B deductible increased by $13 to $198 for 2020.

Medicare Part A covers inpatient hospital, skilled nursing facility, and some home health care
services. Most people pay nothing for Part A, as they’ve paid in more than 40 work quarters. The monthly premium for enrollees age 65 and over who have fewer than 40 quarters of coverage will increase to $252 for people with 30-39 work quarters, and $458 per month for people with fewer than 30 work quarters.

The Medicare Part A inpatient hospital deductible that beneficiaries will pay when admitted to
the hospital will be $1,408 in 2020, an increase of $44 from 2019. Premiums and deductibles for Medicare Advantage and Medicare Part D Prescription Drug plans are unaffected by this announcement.

Medicare imposes Income-Related Monthly Adjustment Amount (IRMAA) surcharges on Part B
and Part D premium costs for beneficiaries with incomes at $87,000/year or more. Starting in
2020, IRMAA will be tied to the Consumer Price Index for Urban Consumers (CPI-U), instead of
being tied to Modified Adjusted Gross Income. This means fewer high-income persons will pay
this extra charge.

Open Enrollment for Medicare Part D Prescription Plans, or Medicare Advantage Plans ends December 7. Enrollments during Open Enrollment will take effect January 1, 2020. 

Compare Medicare plans: Online https://medicare.gov or, call Medicare directly at 1-800-MEDICARE (1-800-633-4227). They get information over the phone, and help you review your options and sign up for Part D, too.

About Author