From 24/7 Wall St. · Gerelyn Terzo · · 1m 10s
20.8 Million Medicare Beneficiaries Get $90 Rebate
Medicare Advantage members miss $90 rebate despite same Part B premium as Original Medicare.
In brief
Medicare Advantage members miss $90 rebate despite same Part B premium as Original Medicare. 20.8 million Original Medicare beneficiaries receive $90 rebate while Advantage members pay same premium but get nothing, with open enrollment allowing switches for cost savings. Originally reported by 24/7 Wall St..
Quick answers
- Missing Deposit?
- Eligible beneficiaries receive direct deposit by October 8 or a paper check from the Treasury by late October.
- What is the key takeaway from 20.8 Million Medicare Beneficiaries Get $90 Rebate?
- 20.8 million Original Medicare beneficiaries receive $90 rebate while Advantage members pay same premium but get nothing, with open enrollment allowing switches for cost savings.
CMS Pays $90 Rebate
The Centers for Medicare & Medicaid Services dropped a one-time $90 payment to 20.8 million Original Medicare Part B beneficiaries this month.
Advantage Members Excluded
Medicare Advantage members pay the same $202.90 Part B premium but get no rebate despite qualifying for the payment.
Why the Gap Exists
Congress created the Medicare Improvement Fund in 2008 to support Original Medicare, excluding Advantage members from rebates.
IRMAA Threshold
Original Medicare enrollees must pay below $109,000 income for single filers to avoid losing the rebate.
Missing Deposit?
Eligible beneficiaries receive direct deposit by October 8 or a paper check from the Treasury by late October.
Switching Costs
Advantage members risk higher premiums or denial after open enrollment if they switch to Original Medicare.
Open Enrollment Ends
Open enrollment closes December 7, giving time to switch plans before the next year's coverage starts.
The essence
20.8 million Original Medicare beneficiaries receive $90 rebate while Advantage members pay same premium but get nothing, with open enrollment allowing switches for cost savings.
