Each year those eligible for Medicare have several weeks to enroll and update their plan selection. The open enrollment period began on Friday, 15 October, and will come to a close on 7 December.

When one reaches the age of sixty-five and claims their Social Security benefits, they are enrolled in Medicare Part A and B. During open enrollment, seniors have the choice to select a Medicare Advantage Plan or Part D, prescription drug plan.

How much were the Medicare Part A and B premiums in 2021?

The Center for Medicare and Medicaid Services (CMS) has yet to announce the premiums for Part A and B for 2022.

Part A

The majority of those who receive Medicare benefits do not pay a premium for Part A. There are three main reasons why some are eligible to receive premium-free benefits; 

• You receive retirement benefits from Social Security or the Railroad Retirement Board.
• You are "eligible to get Social Security or Railroad benefits but haven't filed for them yet."
• You or your spouse has Medicare-covered government employment.

In 2021,  those who did not fall into these categories can buy Part A coverage for

• $471-- paid Medicare taxes for less than thirty quarters
• $259 -- paid Medicare taxes for between thirty and thirty-nine quarters. 

Part B

This year, the vast majority of Medicare members paid $148.50 for Part B coverage.

However, the amount owed depends on your annual income. Each month the Social Security Administration will subtract any premiums for Part A and B from your benefit amount.

Changes to Medicare Part C and D in 2022

While the CMS has yet to announce the 2022 premiums for Parts A and B, they have released information on the changes members can expect to see with Parts C and D.

Part C -- Medicare Advantage Plans

Currently around a third of Medicare members are enrolled in a Part C Medicare Advantage Plan.

The CMS has announced that they will expand the availability of Medicare Advantage Plans for those with a chronic illnesses. Starting in 2022, the percentage of plans available to those with a chronic condition will increase from nineteen to twenty-five percent. The average monthly premium in 2022 for Medicare Advantage will decrease from $21.22 to $19 per month.

Part D

The CMS has announced that they will continue moving forward with a new model that aims to lower the cost of insulin for Medicare members.

This year, the Part D Senior Savings Model  will add two additional pharmaceutical suppliers and the CMS has announced that this will supply will ensure members have access to "a thirty-day supply of a broad set of plan-formulary insulins costs no more than $35."

Overall, however, premiums for Part D plans are expected to increase to $33 compared to $31.74 in 2021.