Medicare Premiums for 2009

 Medicare recipients have been quite worried about what will happen if their premiums go up in 2009.  Because many recipients are on very limited incomes, even the slightest increase could create financial hardships affecting their quality of life.

The Center for Medicare and Medicaid Services (CMS) has announced that the premiums for Medicare Part B will not go up next year, for the majority of seniors, which should be a relief to those who have been worrying.  Those whose income is below $85,000 for an individual or $170,000 for a couple will pay the same $96.40 that they paid this year.  This will be the first time in 8 years that the premiums will remain unchanged.

Since premiums are tied to earnings, those in the higher brackets will pay higher premiums than those in the lower brackets.  The deductible for Part A of Medicare, which pays for hospital stays, will increase by $44.00.  This means that if you have Medicare and are in the hospital for 60 days, it will cost you a total of $1,068.00 in 2009.  If you are in the hospital longer, different payment schedules are applied from day 61 through day 90.

In order to offset any additional expenses from day 61 through day 90, it is advisable to protect yourself with a Medicare Supplemental plan.  There are various plans available and you should contact Medicare or CMS to get accurate information.  The plans can be purchased through private insurance companies, however it is important to know what they cover and compare costs before you buy them.  If you purchase Part D from any insurance company the coverage is exactly the same, but one insurance company could charge you twice as much as another.

The outlook for Medicare for the coming year is not bad.  It is important, however, to review your coverage annually and make sure that you have what you need and what you can afford.

To reach Medicare, call 1-800-MEDICARE or www.medicare.gov.