The Centers for Medicare and Medicaid Services on Thursday said there will be a 6% hike in premiums for Medicare Part B in 2024.
The anticipated increase will eat into a 3.2% cost-of-living bump for Social Security recipients that was announced on Thursday.
Open enrollment for next year's Medicare plans starts Sunday.
Standard Part B premiums would increase by $9.80, from $164.90 to $174.70, and the annual deductible for Medicare Part B beneficiaries will go up $14, from $226 to $240. In 2023, Part B premiums went down for the first time in more than 10 years.
The deductible for Medicare Part A will be $1,632, which is $32 more than this year.
Premiums vary depending on income.
CMS hasn’t announced the increase for traditional Medicare. The cost of Medicare Advantage plans is expected to remain stable, with a monthly plan running $17.86, a 64-cent jump from 2023.
Part B covers physicians’ services, outpatient hospital services, certain home health services, durable medical equipment and certain other health services not covered by Medicare Part A.
Part A covers inpatient hospitals, skilled nursing facilities, hospice, inpatient rehabilitation and some home health care services.
The inpatient hospital deductible under Part A will be $1,632 in 2024, an increase of $32 in 2023. Most Part A beneficiaries don’t pay a monthly premium..
According to CMS, “The increase in the 2024 Part B standard premium and deductible is mainly due to projected increases in health care spending.”
The Social Security increase is far less than this year's historic boost of 8.7% and reflects moderating consumer prices.
The cost-of-living adjustment from Social Security means the average recipient will receive more than $50 more every month beginning in January. AARP estimated that increase at $59 per month.
This year’s Social Securityincrease was brought on by record 40-year-high inflation, which pushed up the price of consumer goods. With inflation easing, the next annual increase is markedly smaller.
Information from the Associated Press and KFF Health News was used in this report.