Premiums for Medicare prescription drug coverage are set to fall slightly on average in 2023.
The average monthly premium for a Medicare Part D plan, which provides coverage for prescriptions, will fall to $31.50 next year, down 58 cents from 2022, according to CNBC.
At the same time, the maximum deductible for drug coverage under Medicare will increase to $505 for 2023, up from $480 this year.
Deductibles and premiums vary widely across different Medicare plans, CNBC noted. It’s possible some beneficiaries could see their premiums fall more than the average or even increase.
Others may not have a deductible at all or a smaller one than what’s allowed.
And of course premiums for prescription coverage are just one component of Medicare costs. Part B coverage, which pays for doctor visits, lab work, screenings and other outpatient services, saw an increase of nearly 15% in 2022, the largest ever.
It’s possible Part B premiums could actually decline next year, according to Yahoo Finance. That’s because last year’s large increase was driven in large part by an expensive new Alzheimer’s treatment that won approval from regulators.
Use of that treatment, known as Aduhelm, was later restricted to Medicare patients in clinical trials. Biogen, the company that developed the treatment, eventually slashed sales efforts in the U.S., further limiting its reach, according to The Motley Fool.
Biogen also reduced Aduhelm’s cost.
As a result, the money built into Medicare premiums to help pay for the treatment is no longer needed. The savings are expected to be applied to Part B costs in 2023, according to CNBC.
Exactly what that means for exact premium amounts won’t be known until the government announces them later in the year.
Medicare’s open enrollment period — when you can sign up for coverage — opens Oct. 15 and runs through Dec. 7, CNBC said.