Government
Medicare premiums to rise
NEWS IN BRIEF — Posted Oct. 3, 2005
Beneficiaries enrolled in Medicare Part B will pay $88.50 per month in premiums next year, a jump of more than 13% from the $78.20 that seniors now pay. The Centers for Medicare & Medicaid Services said rapid increases in the volume and intensity of physician services are responsible for the hikes in premiums. Utilization of such services has grown by more than 6% annually in several of the past few years, a remarkable departure from the 1% average yearly increase during the 1990s.
Seniors will face even higher Part B premiums if Congress increases Medicare reimbursements to physicians, CMS said. The 2006 hike would have been significantly higher if doctors weren't facing a 4.4% cut in their payments starting in January.
Note: This item originally appeared at http://www.ama-assn.org/amednews/2005/10/03/gvbf1003.htm.
