2016 Medicare Deductibles and Coinsurance Announced

We’ve been anxiously waiting for the Centers for Medicare & Medicaid Services (CMS) to announce their numbers for 2016, and they finally did. If you’re already on Medicare, here are the parts that will affect you.

Part A Deductibles

The inpatient hospital deductible for stays of up to 60 days is going up, from $1,260 to $1,288. Daily coinsurance for stays of 61 to 90 days is increasing from $315 to $322. Daily coinsurance for stays of 91 to 150 days is going from $630 to $644.

Also, for beneficiaries in skilled nursing facilities, the daily coinsurance for days 21 through 100 will be $161.00, up from $157.50.

Part B Deductibles

The annual deductible for all Part B beneficiaries will be $166 in 2016, which is up from $147 in 2015. As a reminder, Part B cover 80% of all Medicare “approved” charges after the required $166 Deductible.

Medicare Supplement Insurance

The good news is that if you have a Medigap plan, you’re covered for these new amounts. Specifically, if you have a Plan F Medicare Supplement, then both your Part A and Part B deductibles are covered. If you have a Plan G, then your Part A deductibles are covered, but you’ll be responsible for the Part B Annual deductible of $166.

And as always, if you have questions, contact one of our agents and we’re happy to explain your coverage options in plain English!