Important Health Insurance Updates: We’re Here to Help

As we approach the health insurance enrollment period, we want to ensure you have all the essential information to make informed decisions. This year, we’re reaching out early to stay ahead of the rush and give you ample time to provide us with any updates. Whether you’re a Medicare recipient or have individual and family health insurance plans, understanding your choices is crucial.

For 2025, there are significant changes to Medicare Part D that you should be aware of, affecting both standalone Part D plans and Medicare Advantage plans with prescription drug coverage:

  • Enhanced Drug Coverage: Starting in 2025, more drugs will be covered under the standard benefit, reducing out-of-pocket costs for many beneficiaries.

  • Out-of-Pocket Cap: There will be a new cap on out-of-pocket expenses for prescription drugs, set at $2,000 annually. This change aims to provide greater financial protection and predictability for your medication costs.

  • Elimination of the Coverage Gap (“Donut Hole”): The coverage gap will be fully eliminated, meaning beneficiaries will no longer face higher costs after reaching the initial coverage limit until catastrophic coverage kicks in.

  • Improved Catastrophic Coverage: Beneficiaries will no longer be responsible for 5% coinsurance in the catastrophic coverage phase, reducing overall costs for those with high medication needs.

  • Simplified Enrollment Process: The enrollment process for Part D will be streamlined, making it easier for us, as your agents, to guide you through these simplified steps, ensuring a smooth and efficient enrollment experience.

To serve you better, please update your information using this form. Keeping your details current will enable us to offer the best possible advice and service. While plan information will be available in October-November, updating your details now will help us be better prepared to assist you. We cannot quote or discuss 2025 plans until Oct 1st.

2025 Medicare Deductibles and Premiums

Medicare Part A (Hospital Insurance)

  • Deductible: $1,632 per benefit period. (2024)

  • Premium: Most people don’t pay a premium for Part A if they have worked and paid Medicare taxes for at least 10 years. For those who do not qualify for premium-free Part A, the monthly premium is $506. (2024)

Medicare Part B (Medical Insurance)

  • Deductible: $240 per year. (2024)

  • Premium: The standard monthly premium for Part B is $174.70. Higher income beneficiaries may pay more based on their income. (2024)

Medicare Part D (Prescription Drug Plans)

  • Deductible: The maximum allowable deductible is $590, but this can vary by plan.

  • Premium: Varies by plan. The national base beneficiary premium is projected to be approximately $33.37.

Individual, Family, Dental and Vision Plans

For individual and family plans, you have several choices. On-exchange plans are purchased through the Health Insurance Marketplace and often qualify for subsidies or premium tax credits. Off-exchange plans are purchased directly from insurance companies, offering more flexibility but without subsidies. Additionally, standalone dental and vision plans are not subject to the same enrollment periods as other health insurance plans, allowing you to enroll in or make changes to these plans at any time.

Best regards,

-Christy and Frank