What’s new in 2025?
Part A: Hospital insurance
| Part A premium
|
Free if you’ve worked 10 years or more
$285 per month if you’ve worked 7.5 to 10 years $518 per month if you’ve worked fewer than 7.5 years |
| Part A hospital deductible | $1,676 each benefit period |
| Part A hospital coinsurance
|
$0 for the first 60 days of inpatient care each benefit period
$419 per day for days 61-90 each benefit period $838 per lifetime reserve day after day 90 in a benefit period (You have 60 lifetime reserve days that can only be used once. They’re not renewable.) |
| Skilled nursing facility insurance | $0 for the first 20 days of inpatient care each benefit period
$209.50 per day for days 21-100 each benefit period |
Part B: Medical insurance
| Part B premium
(For individuals with incomes below $106,000 or couples with incomes below $212,000) |
$185 is the standard premium |
| Part B deductible | $257 per year |
| Part B coinsurance | 20% for most services Part B covers |
| National average Part D premium | $36.78 per month |
| Part D maximum deductible | $590 per year |
| Catastrophic coverage
You will owe $0 on covered drugs after reaching this cap. |
$2,000 |
Changes to Part D in 2025:
The $2,000 cap on out-of-pocket drug costs
- Starting in 2025, your annual out-of-pocket Part D costs are capped at $2,000. After you reach this out-of-pocket limit, you owe nothing for covered drugs for the rest of the year.
- Your Part D plan should keep track of how much money you have spent out of pocket for covered drugs and your progression through coverage periods—and this information should appear in your monthly statements.
- Remember that only costs associated with covered drugs help you move through the coverage phases. If you spend money on non-covered drugs, those costs will not help you reach the annual cap.
The Medicare Prescription Payment Plan (MPPP)
- Beginning in 2025, you have the option to sign up for a payment plan for Part D out-of-pocket costs.
- The MPPP allows you to spread your drug costs throughout the year, with the goal of helping you manage your monthly expenses.
- For example, if you anticipate reaching the annual Part D cap quickly due to expensive medications, you can spread those costs throughout the year—rather than paying a lot in the first months of the year and nothing in later months of the year.
- When you sign up for the MPPP, your plan will communicate your choice to your pharmacy. You should pay $0 at the pharmacy for your covered Part D drugs. Your plan will pay the cost-sharing at the time of your purchase and send monthly bills to you for the cost-sharing amounts. You pay no fees or interest, even if your payment is late.
FOR OTHER QUESTIONS, CONTACT AMERICAN SENIOR RESOURCES at 1-866-448-0160 TTY 711 M-F or SCHEDULE AN CONSULTATION ONLINE WITH AN ASR LICENSED AGENT.
Contact Information
1-800-386-6160 (TTY 771) | medicare@asrconnect.com | Monday-Friday 8AM-5PM PT
Disclaimer
This content was created and copyrighted by Medicare Rights Center ©2024. Medicare Rights Center is a national, nonprofit consumer service organization that works to ensure access to affordable health care for older adults and people with disabilities. These material are presented here with support from American Senior Resources (ASR) and may not be distributed, modified or edited without Medicare Rights’ consent.