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Important Changes To Medicare Coverage

Big changes are coming to Medicare Part D in 2024! If you’re enrolled in Medicare, pay attention during this year’s open enrollment period, from October 15 to December 7. Why? Because your Medicare health and drug plans might change in terms of cost, coverage, and provider networks. The U.S. Centers for Medicare and Medicaid Services (CMS) advises checking all materials from your providers closely.

So, what’s changing? Thanks to the Inflation Reduction Act of 2022, starting in 2024, the government will negotiate drug prices directly, aiming to lower costs. They’ll start with up to 10 drugs in 2026 and add more each year. By 2029, they’ll negotiate 20 medications per year.

Here are some cool benefits for Medicare users:

  • A maximum cap of $2,000 on out-of-pocket costs beginning in 2025.
  • Insulin will cost just $35 a month.
  • Once you spend $7,400, you won’t pay anything for covered drugs.
    • Currently, after spending $7,400, enrollees still pay a small percentage for drugs. This change will help a lot of people, as around 1.5 million Medicare Part D users had high drug costs in 2019.

There’s also good news for low-income participants. The Extra Help program is expanding. It helps with Part D costs and will now include more people, helping nearly 300,000 more enrollees.

Overall, these changes should save money for Medicare beneficiaries and even reduce the deficit by billions over the next decade. CMS predicts these changes could save enrollees around $400 each. So, keep an eye on these updates – they could be great for your wallet!

 

Sources:
Big Changes Coming to Medicare Part D in 2024—Here’s What You Should Know

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