Lower than Expected Medicare Costs Are Welcome News for Seniors and People with Disabilities

Today, the Centers for Medicare and Medicaid Services (CMS) announced that the 2012 Medicare Part B premium will increase for most people with Medicare by only $3.50 per month after being frozen in 2010 and 2011. This is a substantially smaller increase than expected. The Medicare Part B deductible will actually decrease by more than $20. The following is the statement by Ron Pollack, Executive Director of Families USA, regarding this announcement.

“Today’s news regarding Medicare premiums and costs is terrific for the 47 million Americans with Medicare, most of whom are on fixed incomes. It means they will be able to keep more of their Social Security benefits in their pocket, rather than seeing it go toward health care costs. 

“The slowing in Medicare costs is even more impressive because Medicare benefits have improved this year thanks to the Affordable Care Act. Most preventive care is now available free of charge, and prescription drugs are more affordable. 

“Just as important, today’s news suggests that the Affordable Care Act is meeting its promise of bringing health care costs under control and making Medicare stronger. Initiatives like lowering payments to private plans, improving care to reduce unnecessary hospitalizations, and targeting waste and fraud are starting to pay dividends that will continue to benefit patients and taxpayers. As the implementation of the Affordable Care Act continues, we will see more good news like today’s announcement.”

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Families USA is the national organization for health care consumers. It is nonprofit and nonpartisan and advocates for high-quality, affordable health care for all Americans.

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