Annual Notice of Change
Medicare Costs for 2025 Set to Rise
Changes will kick in from January 1st, 2025
YOUR ATTENTION PLEASE
If you are a beneficiary of Original Medicare or have a Medicare Advantage Plan, you will receive Medicare’s Annual Notice of Change (ANOC) between mid to end of September 2024.
The Medicare Annual Notice of Change comes either in the mail, or as email.
It is in your best interest to read the Medicare Annual Notice of Change carefully and thoroughly as it contains details of how your Medicare coverage, costs, and benefits are set to change next year.
Big Healthcare Coverage Changes Happening in 2025
Reduced Out-of-Pocket Costs for Part D
The Centers for Medicare and Medicaid Services (CMS) have brought out-of-pocket costs for Part D prescription drugs down to $2,000 only. This is good news for patients, but it may lead to higher premiums, copays, and coinsurance.
Updates to Drug Formularies
A formulary is the list of medications your plan provider will pay for. Because of the $2,000 cap, there’s a chance drug lists may change. Or drug prices will rise and, consequently, so will your copay.
ANOC 2025:
Check Your Healthcare
Plan to Ensure:
- The drugs you need will continue to be covered in 2025
- Your doctor/healthcare center/preferred hospital will continue to be included in your plan’s network
If you need to modify your healthcare coverage, you can do so during the Medicare Open Enrollment Period which runs from
October 15th to December 7th
Get in Early
Medicare Advantage advisors, agents, and brokers often get swamped near the end of Open Enrollment Period. Speak to your advisor or agent as early as possible to get their full attention.
Or call our Patient Relations Team helpline
Frequently Asked Questions About Medical Billing
A deductible is the amount of money you have to pay before your insurance takes over.
Example: Your deductible is $500. You will pay this for any healthcare costs at first. Any dollar amount over and after this $500 will be paid by your plan provider.
Insurance policies aren’t bought using a one-time payment. You have to pay a certain amount each month to keep your policy active, like a club membership. This regular amount is the premium.
A copay, or copayment, is your share of the cost of any medical service.
Example: You have to get a specific test that costs $200. Your copay is $10. You must first pay $10 to get the test done, and your plan provider will cover the remaining $190. Copays have no connection to the deductible.
Coinsurance is slightly different from copay. Instead of a fixed amount, you pay a fixed percentage of the cost of the medical service you need. Coinsurance is linked to your deductible. When you hit the deductible limit, you stop paying.
This is the share of expenses coming out of your pocket. In most cases, there’s annual limit on this cost. Once you reach this limit, all your costs for the rest of the year are covered by insurance.