Medicare Premiums and Deductibles for 2018
If you’re on Medicare, or soon will be eligible for Medicare, you will be happy to know that Medicare covers a lot of medical and preventive care. However, there are some out-of-pocket costs you may have to pay.
Let’s look at the Medicare premiums and deductibles for 2018. We’ll also show you how your income and certain coverage choices may affect your actual monthly Medicare premiums. Keep in mind that Medicare deductibles and premiums can change every year.
What are my Medicare deductibles in 2018?
There are a few different Medicare deductibles in 2018, but not all of them may apply to you. Your costs related to Medicare deductibles in 2018 depends on what Medicare coverage you have.
Maybe you’re enrolled in Original Medicare, Part A and Part B. This is the federal Medicare program. Many people are automatically enrolled when they become eligible, and some have to sign up. Some people decide to delay Part B enrollment – for example, because they’re still covered under an employer- or union-based health plan. Since you generally pay a Part B premium, and since Part B is medical insurance, you might choose to delay this coverage until your other coverage ends.
You might have other Medicare deductibles if:
- You get your Original Medicare benefits through a Medicare Advantage plan.
- You still have Original Medicare, but you also have a stand-alone Medicare Prescription Drug Plan.
Medicare Part A and Part B deductibles in 2018
- Medicare Part A: You typically pay a $1,340 Part A deductible in 2018 before Medicare pays anything for a hospital or skilled nursing facility (SNF) stay.
This is not an annual Medicare deductible, but is “per benefit period.” A benefit period starts the day you’re admitted as an inpatient in a hospital or skilled nursing facility (SNF). The benefit period ends when you haven’t gotten any inpatient hospital care (or skilled care) for 60 days in a row. If you are admitted to the hospital or SNF later in the same year, you begin a new benefit period and must pay another $1,340 Medicare Part A deductible.
After you have met your deductible for the benefit period, you usually pay coinsurance under Medicare Part A for covered services while you’re in the hospital or SNF.
- Medicare Part B: The Medicare Part B deductible is $183 in 2018. After you have paid your deductible, you typically pay 20% of the Medicare-approved amount for most covered physician services, outpatient care, and durable medical equipment.
Medicare Part D deductible in 2018
- If you enroll in a stand-alone Medicare prescription drug plan, the plan sets the Medicare Part D deductible. Some plans might not have a deductible.
- No Medicare prescription drug plan may have a deductible higher than $405 in 2018
Medicare Advantage deductible in 2018
If you are enrolled in a Medicare Advantage plan, your deductible (if any) and cost-share amounts are set by the plan. Some Medicare Advantage plans may have deductibles as low as $0.
What are my Medicare premiums in 2018?
Just as with your Medicare deductibles, your Medicare premiums in 2018 correspond to the types of Medicare coverage you have. It’s possible to have a few different Medicare premiums – for example, your Part A, Part B, and Part D premiums.
Medicare Part A and Part B premiums in 2018
- Part A (hospital insurance) premium: If you or your spouse have paid Medicare taxes while working for at least 10 years (40 quarters), you typically have premium-free Medicare Part A. This is the case for most people with Medicare.
If you haven’t worked while paying taxes long enough to qualify for premium-free Part A, here’s what you pay per month in 2018.
- If you’ve worked 30-39 quarters while paying taxes: $232
- If you’ve worked fewer than 30 quarters: $422
- Medicare Part B (medical insurance) premium: Medicare beneficiaries pay a Medicare Part B premium. The standard 2018 premium for Part B coverage is $134 per month. However, your Part B premium in 2018 may be lower or higher than that. The average Part B premium is $130.
Here’s when you’d be likely to pay the standard amount of $134.00 for your monthly Part B premium:
- If you enrolled in Part B for the first time in 2018
- If you get a bill for your Part B premium (that is, it’s not deducted from your Social Security benefits)
- If you aren’t currently receiving retirement benefits from Social Security or the Railroad Retirement Board
- If you’re “dual eligible” (you’re on both Medicare and Medicaid). In this case, the Medicaid program usually pays your Medicare premiums.
If your income is above a certain amount, your Part B premium in 2018 might be higher.
Medicare Part D premium in 2018
- If you have a stand-alone Medicare Part D prescription drug plan, your plan sets the monthly premium. Premiums can vary among plans.
Medicare Advantage premium in 2018
As with stand-alone Medicare Part D prescription drug plans, Medicare Advantage plans set their own premiums. They may vary from one plan to another. Some Medicare Advantage plans have premiums as low as $0.
It’s important to note that you must continue to pay your Medicare Part B premium when you have a Medicare Advantage plan. Of course, you also need to pay the Medicare Advantage premium, if it charges one.
Note: People with low incomes and limited resources might qualify for state assistance in paying Medicare premiums and/or deductibles, coinsurance, and copayments. For more information, contact your state health insurance assistance program (SHIP) – go to https://www.shiptacenter.org/.
Do you have questions about your Medicare coverage options and what premiums and deductibles they may have? You can call us and speak with a licensed eHealth insurance agent. Click Browse Plans to start comparing plans instantly.