Medicare beneficiaries could see their Part B premiums nearly double over the next decade, according to a new report from the Senate Joint Economic Committee.
This raises fresh concerns about the affordability of health care for seniors who already face rising out‑of‑pocket costs.
The report projects that per‑person Medicare Part B premiums will rise from about $2,200 per year in the mid‑2020s to roughly $4,500 by 2035, driven largely by rapidly increasing program spending and continued overpayments to Medicare Advantage insurers. …
“CMS [Center for Medicare Services] has tried clawback audits and risk adjustments, but the Medicare Advantage program’s scale and MA lobbying power keep comprehensive reforms stalled.”…
Low-seniors on traditional Medicare without access to Medicare savings programs or Medicaid will likely get hit the hardest, alongside higher-income beneficiaries who pay income-related adjustment amounts on top of their standard premiums…[end quote]
The entire article is worth reading.
Many METARs (and millions of others on Medicare) will be affected by these increases. Since healthcare represents 17% of GDP the impact will be Macroeconomic.
As for Congress putting a stop to Medicare Advantage abuse, which CMS knows all about…fugeddaboutit.
IRMAA coupled with IRA RMDs is a major cost increase for seniors who have saved for retirement. Even if you don’t have dividend income your RMDs will be based on the value of your IRA.
A new report released by the bipartisan Senate Joint Economic Committee (JEC) on Tuesday found that overpaying for Medicare Advantage (MA) plans caused Medicare Part B premiums to rise across the board.
According to the JEC’s report, overpayments to MA plans caused standard monthly Medicare Part B premiums to go from $185 in 2025 to $203 in 2026.
What happens as Medicare costs eat into Social Security income. You have potential for some not able to afford Medicare.
Health care is labor intensive. Some efforts are trying to reduce drug costs. Use of physician assistants is one approach. AI can help w diagnosis, X-ray reading, recommending cost effective treatments. Can robots make a difference? Doubtful.
Increased supply of physicians might help. Still hard to get into med school. GP not as profitable as specialties. Limited number of residencies limits supply. These restraints need to be addressed.