Now is the time to start thinking about any changes you may want to make to your Medicare coverage. Thanks to the Inflation Reduction Act, some significant changes have come along for Medicare, and more will take effect soon.

Medicare Open Enrollment

Medicare open enrollment happens once each year. In 2024, the open enrollment period is between October 15 and December 7. Any changes to your Medicare plans will take effect on January 1, 2025. During the open enrollment period, you can:

• Join or drop a Medicare Advantage Plan, switch between Medicare Advantage Plans, or add or drop Medicare prescription coverage.
• Switch from Original Medicare to a Medicare Advantage Plan or vice versa.
• Join or drop a Medicare prescription drug plan, or switch to a different drug plan if you are enrolled in Original Medicare.

If you are already in a Medicare Advantage Plan, you will also have an open enrollment period between January 1 and March 31 of 2025, during which you can:

• switch to another Medicare Advantage Plan (with or without drug coverage);
• drop your Medicare Advantage Plan and return to Original Medicare; or
• join a separate Medicare drug plan.

Lower Drug Prices for Medicare Members

One of the most significant changes Medicare beneficiaries will see in the coming years is the lowering of prescription drug prices. Under the Inflation Reduction Act (IRA), the federal government was granted the authority to negotiate the prices of certain high-cost medications covered under Medicare. This historic move is designed to reduce out-of-pocket expenses for beneficiaries and lower costs for the Medicare system.

More Changes Coming to Medicare

The IRA offers additional changes that will help Medicare beneficiaries on other fronts as well.

• Medicare beneficiaries will have a yearly cap on how much they will have to spend on out-of-pocket prescription drugs covered by Medicare. The cap for 2025 is to be set at $2,000.
• Insulin costs are capped at $35 per month per covered prescription for those who are enrolled in Medicare Part D. This cap may not apply to all insulin products. Check with your care provider to determine whether this applies to you.
• Recommended vaccines will be available at no cost to people who have Medicare prescription drug coverage.
• The Medicare Part D low-income subsidy program (LIS), also known as Extra Help, has been expanded to 150 percent of the federal poverty level (FPL). If your annual income is 150 percent of the FPL, then you may qualify for the Extra Help program.
• Companies that raise the prices of certain drugs faster than the rate of inflation must pay a rebate to Medicare.

If you would like to speak with an experienced elder law attorney regarding your situation or have questions about something you have read, please do not hesitate to contact our office at 1 (800) 680-1717. We look forward to the opportunity to work with you.