Premiums for Medicare increasing

Many premiums for Medicare drug plans will be facing a substantial increase, despite the Obama administration’s claims that premiums will stay level in 2013. “The average senior is going to benefit by carefully scrutinizing their situation, because every year the market changes,” Avalere President Dan Mendelson said, whose company computed the numbers based on what companies sent to Medicare. Back in August the Obama administration said premiums would stay around 30 dollars a month, but this does not reflect the individual price changes for certain plans.

Several plans are increasing by double digits, including the Humana Walmart-Preferred Rx Plan (23 percent), First Health Part D Premier (18 percent), Cigna Medicare Rx Plan One (15 percent), and the Express Scripts Medicare-Value (13 percent). However, AARP entered a new plan into the market, which at $15 will be the lowest average per month. However, the plan will not be available in all locations. If consumers shop around they are most likely to find new plans at a much cheaper rate.