Local insurance expert: Expect changes in Social Security, Medicare in 2023

ORANGE PARK – Bill Green advises Medicare beneficiaries that two historic announcements for next year with Social Security and Medicare include an expected Social Security increase of approximately 8.7%, the largest increase in the program’s history. Also, the Medicare Part B premium and Part B deductible will cost less with coverage for physician services, outpatient hospital services, durable medical equipment and other medical and health services not covered by Part A.

According to Green, president and owner of Green Insurance Agency in Orange Park, the standard Part B premium in 2023 will reflect a decreased amount of $164.50 from this year’s cost of $170.10. The annual deductible for Part B will be $226, a decrease of $7 from $233.

“In 2022 we saw a huge increase in the Part B premium due to the estimation of the cost of a new Alzheimer’s medication called aducanumab with the brand name of Aduhelm,” Green said. “The cost and usage were still unknown going into 2022, so to get ahead and create extra reserves for the Medicare trust fund, the Center for Medicare and Medicaid Services increased the premiums significantly.

“However due to a lower cost and usage than anticipated, the premium reduction is an attempt from CMS to pass some of the reserves back to people with Medicare Part B coverage.”

The Centers for Medicare and Medicaid Services is part of the U.S. Department of Health and Human Services.

The Medicare annual enrollment period for 2023 is underway and will end on Dec. 7.

“This is the time when people eligible for Medicare can compare the upcoming 2023 coverage between original Medicare, Medicare Advantage, and Part D prescription drug plans,” Green said. “Medicare health and drug plan costs and coverages can change each year, so people with Medicare should look at the coverage options annually to decide on the options that fit their health needs.”

Additionally, while Part A covers a portion of hospital costs for beneficiaries, the deductible for 2023 is increasing from $1,556 to $1,600, a small $44 increase. Green said the second part of Part A is a stay in a Skilled Nursing Facility following a hospital stay. Medicare covers at no cost for the first 20 days in a SNF. That is a slight increase from $194.50 to $200 a day after day 20.

“Part A is no cost for the majority of Medicare beneficiaries, however, if they or their spouse do not have at least 40 quarters of work credits then you have to pay for Part A. That cost is based on the number of quarters you have reported,” said Green. “For those with at least 30 quarters, the premium to buy Part A is $278, a $4 increase from 2022. Those with less than 30 quarters pay the full premium of $506, an increase of $7.”

Green offers more information about Medicare in his recently published book that helps baby boomers and seniors navigate the complex insurance process with advice and tips for better decision-making. “Medicare Breakdown, The Alphabet Soup of Medicare,” is offered for free to those interested in learning more at medicarealphabetsoup.com. Green and his team have helped thousands of people in the Medicare and insurance coverage industry.

Green attends numerous conferences and seminars in the Medicare and insurance field each year. Green is a member of the National Association of Health Underwriters, Jacksonville Association of Health Underwriters, Baker County Chamber of Commerce and the Clay Chamber.

For more information, call (904) 717-1176 or email bill@greeninsagency.com. Visit the website at https://greeninsagency.com.