Key Takeaways:

1. Medicare costs for disabled individuals will rise in 2024, with increases in both Part A and Part B premiums and deductibles, affecting overall healthcare expenses.
2. New benefits are being introduced, including expanded access to prescription drug coverage and lower out-of-pocket costs for medications, offering financial relief.

What’s Happening With Medicare for Disabled People This Year and How to Prepare

Medicare is a lifeline for many disabled individuals, offering essential healthcare coverage. However, each year brings changes that impact costs, coverage options, and eligibility requirements. As 2024 unfolds, these updates include increases in premiums and deductibles, as well as enhancements to drug coverage, making it crucial for disabled individuals to understand how these changes will affect them.

Medicare Part A and B Costs Are Increasing

In 2024, Medicare Part A and Part B premiums and deductibles are on the rise. These changes will directly impact disabled beneficiaries who rely on Medicare for their healthcare needs.

• Part A: Most beneficiaries do not pay a monthly premium for Part A, but those who do will see premiums remain steady, at $505 for those who have fewer than 30 quarters of covered employment. However, the inpatient hospital deductible will increase by $32, reaching $1,632 per benefit period. Daily coinsurance for hospital stays from days 61 through 90 will rise to $408 per day, and $816 per day for lifetime reserve days. Skilled nursing facility care will also see a small rise in costs, with the daily coinsurance increasing to $204 for days 21 through 100.

• Part B: The standard monthly premium for Part B will increase to $174.70 from $164.90 in 2023. Additionally, the annual deductible will rise to $240, up from $226 in 2023.

These higher costs mean disabled Medicare beneficiaries should review their budgets to accommodate the increases and consider whether they qualify for assistance programs that help with premiums and out-of-pocket expenses.

Expanded Prescription Drug Coverage

A major positive change in 2024 is the expanded access to prescription drug benefits. Due to recent legislation, the Extra Help program will expand its eligibility criteria, allowing more disabled individuals with low incomes to qualify for help with prescription drug costs. In fact, approximately 300,000 more people are expected to benefit from this expanded access.

Another significant change is the elimination of copayments for vaccines under Part D. Adult vaccines, including those for shingles, will be available at no cost, easing the financial burden on those who need immunizations. Additionally, insulin copayments will continue to be capped at $35 per month under both Parts B and D, a continuation of the Inflation Reduction Act benefits.

For those with high prescription drug costs, once out-of-pocket spending reaches $8,000, Part D coverage will eliminate copays and coinsurance for the remainder of the year. This change offers significant financial relief to those with chronic conditions requiring expensive medications.

New Behavioral Health and Care Coordination Benefits

Disabled individuals often face complex health challenges requiring specialized care. In 2024, Medicare will expand its coverage of behavioral health services, which are essential for managing conditions such as depression, anxiety, and other mental health issues. For the first time, Medicare Advantage plans will have to offer broader access to these services, with fewer restrictions on prior authorizations for treatments.

Additionally, Medicare will begin reimbursing providers for helping patients navigate complex health conditions. This change aims to improve the coordination of care for people with serious illnesses, helping beneficiaries better manage their medical appointments, medications, and treatment plans. Caregiver training will also be covered, ensuring that family members can assist in providing necessary care to disabled loved ones at home.

How to Prepare for These Changes

With these changes on the horizon, it’s important to plan ahead. Here are steps disabled Medicare beneficiaries can take to ensure they are prepared:

1. Review your current coverage: Look closely at your current Medicare plan and compare it to the options available during the open enrollment period (October 15 to December 7, 2024). Consider whether switching to a Medicare Advantage plan or changing your Part D prescription drug plan could save you money.

2. Check eligibility for Extra Help: If you are struggling to afford your prescription medications, explore whether you qualify for the expanded Extra Help program. This could significantly lower your out-of-pocket drug costs.

3. Budget for higher costs: With premiums and deductibles increasing, disabled individuals need to adjust their healthcare budgets. If you’re unsure how these changes will affect you, consult a financial advisor who specializes in Medicare planning for disabled individuals.

4. Utilize new care coordination services: If you have a complex health condition, take advantage of the new care coordination benefits. Talk to your healthcare provider about how they can help you manage appointments, prescriptions, and follow-up care.

5. Take advantage of free preventive care: Make sure to get your vaccines, as they are now fully covered under Part D. Staying up to date on vaccines can prevent costly illnesses down the road.

Closing Thoughts: 2024 Brings Both Challenges and Opportunities for Disabled Medicare Beneficiaries

While 2024 introduces higher Medicare costs, it also offers expanded benefits, especially in prescription drug coverage and behavioral health services. By staying informed and reviewing coverage options, disabled individuals can better navigate these changes and optimize their healthcare spending. It’s essential to take advantage of the Extra Help program, free vaccines, and new care coordination services to ensure you receive the care you need without unnecessary financial stress.