CMS announces Medicare premiums and deductibles for CY 2016

The Medicare Part A deductible for inpatient hospital services will increase by $28 in calendar year 2016, to $1,288, the Centers for Medicare & Medicaid Services announced yesterday. The Part A daily coinsurance amounts will be $322 for days 61-90 of hospitalization in a benefit period; $644 for lifetime reserve days; and $161 for days 21-100 of extended care services in a skilled nursing facility in a benefit period. The monthly Part A premium, paid by beneficiaries who have fewer than 40 quarters of Medicare-covered employment and certain people with disabilities, will increase by $4 in CY 2016, to $411. Most people with Medicare Part B will not see an increase in their monthly premium in CY 2016 because there was no Social Security cost-of-living increase. For about 30% of beneficiaries, the standard Part B premium will increase to $121.80, CMS announced. That’s down from an estimated $159.30 before passage of the Bipartisan Budget Act. For more information, see the CMS factsheet.