| Thu, Jan 05, 2012 @ 09:00 AM

What Will You Pay for Medicare Part A and Part B in 2012?

Posted by Medicare Made Clear

What Will You Pay for Medicare Part A and Part B in 2012?Medicare provides many benefits, but it isn’t free. You will have out-of-pocket costs, and it’s a good idea to learn what they are to help you avoid unwelcome surprises.

Your Share of Medicare Part A Costs

Medicare Part A covers care received in a hospital or skilled nursing facility. It is premium free for most people. However, you do pay a deductible for each benefit period. In 2012, the deductible is $1,156.00.

After the deductible, Part A pays 100% of covered costs for the first 60 hospital days, and the first 20 skilled nursing facility days, of each benefit period. Multiple hospitalizations may be included in the same benefit period, if they are for the same health problem.

A benefit period begins the day you go into a hospital or skilled nursing facility. The benefit period ends when you haven’t received any inpatient hospital care (or skilled care in a skilled nursing facility) for 60 days in a row.

The table shows your out-of-pocket costs for different services covered under Medicare Part A.

What Will You Pay for Medicare Part A and Part B in 2012?

Your Share of Medicare Part B Costs

Medicare Part B covers doctor visits and outpatient care. You will pay a monthly premium for Part B that is based on your income. In 2012, Part B premiums range from $99.90 to $319.70 a month. The low end rose by $3.50 over the 2011 amount, but most people will see it returned through an increase in their Social Security benefit.

Find your tax filing status and your income in the table to see how much your 2012 premium is.

What Will You Pay for Medicare Part A and Part B in 2012?

In addition to the monthly Part B premium, you will pay an annual deductible of $140 for Part B services in 2012. Some other costs you are responsible for include:

  • 20% of the Medicare-approved amount for doctor services, outpatient therapy and durable medical equipment
  • 20% of the Medicare-approved amount for most doctor services you receive while in the hospital
  • 40% of the Medicare-approved amount for outpatient mental health care
  • Copays or coinsurance amounts for other covered services
  • A coinsurance for most outpatient hospital services

Help Paying for What Medicare Doesn’t

Out-of-pocket costs for a serious illness can mount up quickly. If you have Original Medicare Parts A and B, you can choose to add a Medicare supplement insurance plan (Medigap) to help pay some of these costs. Also, it’s important to know that Original Medicare does not include prescription drug coverage. Many beneficiaries choose to add a prescription drug plan (Part D) to help with the cost of medications.

Medicare prescription drug plans and Medicare supplement insurance plans are offered by private insurance companies. You can learn about the plans available in your area using the Plan Finder at Medicare.gov. While you’re there, you may also want to look into Medicare Advantage plans (Part C) in your area. These plans, also offered by private insurance companies, combine the coverage of Part A and Part B, and most also include prescription drugs and extra benefits like wellness, vision, dental and hearing care—all in one plan.

For more information contact the Medicare helpline 24 hours a day, 7 days a week at 1-800-MEDICARE (1-800-633-4227), TTY 1-877-486-2048. You can also contact UnitedHealthcare® Medicare Made Clear to learn more 1-877-619-5582, TTY 711, 8 a.m. – 8 p.m. local time, 7 days a week.

Resources:

2012 Medicare Costs: Medicare.gov’s list of Part A and Part B covered services and what you will pay for them

Are You a Hospital Inpatient or Outpatient: Medicare publication that explains how to find out whether you’re receiving service as an inpatient or an outpatient and why it matters

Medicare Cost Sharing: Learn about cost sharing on MedicareMadeClear.com

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