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Part B Premium Reduction Give Back Plans


The Medicare Part B give back plan, or premium reduction plan is a feature of Medicare Advantage. Yet, only some Medicare Advantage plans offer this benefit, and it isn’t available in all areas. Those with this plan may see a higher amount on their Social Security check, depending on their Part B premium payment method.

What is the Part B Premium Reduction Plan?

The Part B premium reduction plan is just like it sounds. You enroll in the policy, and the carrier pays either part or the whole premium for your outpatient coverage. In the summary of benefits or evidence of coverage, you’ll see a section that says Part B premium buy-down; this is where you can see how much of a reduction you’ll get. Although, your agent or the customer service number on the back of your card can also tell you about the coverage.

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What is the Give Back Benefit in Medicare?

The give-back benefit is another term for Part B premium reduction. This is when a Medicare Advantage plan reduces the amount you pay towards your Part B monthly premium.

Are Medicare Advantage Plans with Part B Give Back Popular?

These plans are becoming more widely available. In 2021, there will be 48 states offering a Medicare Advantage plan with a Part B premium reduction. So, it’s fair to say the popularity of these plans is increasing.

Which Companies Offer Part B Premium Reduction?

Humana is one company that offers the give back option on Medicare Advantage plans. In some areas, Cigna may have a Part B premium reduction plan. Even Aetna has a Part B give back in some areas. Further, there are likely more companies offering this type of policy than just the ones we’ve mentioned. Also, consider the plan ratings before you enroll.

Who is Eligible for the Part B Buy-Down Plan?

Those that pay their own Part B premium will be eligible for the Part B buy-down. But, anyone with Medicaid or other forms of assistance that could pay the Part B premium can’t enroll in these plans. The plan only participates with Social Security; so, no direct payments are sent to you by the carrier.

How Much Do I Get Back with a Part B Give Back Plan?

The amount you get back can range from $0.10 in some counties up to $148.50. Also, the amount you get back will depend on the options in your area. Further, sometimes the same plan name will have a different premium buy-down in different counties.

Will I Receive a Check for My Part B Premium Reduction?

Beneficiaries are not reimbursed. you must pay the reduced premium amount. If your Part B premium comes out of your Social Security check, the reduced amount will reflect in your monthly check.

FAQs

What is a Part B give back?
The Medicare Advantage insurance company can pay either the whole or a portion of the Part B premium for enrollees. Since the Advantage plan handles your claim instead of Medicare, these plans make more sense than a standard Part C policy.
How can Medicare Advantage plans give you back some of your Part B premium money?
The federal government pays Advantage plans to handle your claims. Once you enroll, Medicare doesn’t pay the claim; the policy pays. These plans have a contract with Medicare and Social Security to provide this kind of benefit.
Do Medigap plans offer a Part B premium reduction?
No, Medigap plans don’t cover Part B premiums because you need Part B to pay its portion of the claim. Medigap doesn’t replace Medicare.
How long will Social Security need to adjust my give back amount?
It can take Social Security 1-3 months to begin your Part B premium rebate. After waiting, you can expect to see a regular increase in your checks.
How Much Does the Part B Premium Reduction Plan Cost?
For the most part, the premium reduction plan costs $0 each month.
How do you qualify for $148.50 back from Medicare?
If you have Parts A and B, you can enroll in an Advantage plan with a give-back option. These plans reduce your Part B premium up to the full standard amount of $148.50 each month and add the money to your Social Security check.

How to Get a Medicare Part B Give Back Plan

To get a Part B premium reduction plan, you must be enrolled in Part A and Part B. You must also not be accepting government assistance that pays part of the Part B premium already. But, if you don’t qualify for a give-back plan, there are plenty of plan options on the market.

It’s important to compare Medicare Advantage & Medigap before enrolling in either option. Many beneficiaries are unaware of the many limitations that come with Advantage plans. A Part B reduction may not be worth the additional cost-sharing

Beneficiaries on a budget should consider High Deductible Plan G or High Deductible Plan F. The premiums are more affordable than the standard versions. Another good alternative to Medicare Advantage is Medigap Plan N

Lindsay Engle

Lindsay Engle is the Medicare expert for MedicareFAQ. She has been working in the Medicare industry since 2017. She is featured in many publications as well as writes regularly for other expert columns regarding Medicare. You can also find her over on our Medicare Channel on YouTube as well as contributing to our Medicare Community on Facebook.

16 thoughts on “Part B Premium Reduction Give Back Plans

  1. I am 65 and I am not taking Social Security yet. If I select a Medicare Advantage plan with a zero premium and it also has a give back, will I receive a check each month for that amount, or is the give back only available for those receiving Social Security?

  2. Ii am 77years and some plans says I get some reduced money from part b but that I would loose part a if I did very confusing

    1. Hi Douglas! You would not lose Part A, what you are probably reading is that when you enroll in a Medicare Advantage plan, you leave Original Medicare. You are going from a government program to a private carrier. The private carrier is who offers the give-back benefit. Medicare Advantage must off coverage for the same services Original Medicare covers, the difference is the cost-sharing. You can read out our article on the difference between Original Medicare and Medicare Advantage to clarify.

  3. I have a friend who is retired military with lifetime Tri-Care coverage. Should he enroll in an Advantage Plan with the Part B give back option?

  4. I am a recipient of the give back Medicare program in AZ. My concern is do I have to pay taxes on this income? Will I be getting a 1099?

  5. Hey Lindsay,
    I am living in Florida and on SSD, but might be moving to PA.. I get the refund in my check, in Florida. Will I get the refund if I move to PA.?

    Thank you for your time. I look forward to hearing from You.

    Sincerely,

    Robin Henry

    1. Hi Robin! Thank you for your question. You would need to contact an agent to see what Advantage plans that offer the Part B premium reduction are available in PA. Availability changes per zip code. As long as there is a plan available with this benefit, you should be able to enroll. Just be aware it might not be the same amount, the refund could be less or could be more.

  6. I have s.s. disability. I selected WellCare for two reasons. Doctors and I would receive $144.00 back per month for my part B. Unfortunately I’m three months in and have not received my $144.00. I keep getting told to wait it’ll happen. Well it hasn’t and they told me to wait again while they check on it. I live in Florida

    1. Hi Robert! So, your doctor does not receive the $144. The premium reduction benefit is when your Advantage carrier works with Medicare to have the amount taken out of your Social Security reduced. You don’t receive a separate check from the carrier, you will see an increase in your monthly SSDI check due to the reduced Part B premium. If your coverage is in effect, and you still are not seeing the reduced premium amount back in your SSDI check, you would need to contact your Advantage plan carrier directly to see what the issue is. Also, if you receive any other types of financial help with your healthcare costs, like Medicaid or through a Medicare Savings Program, you won’t be eligible for a premium reduction.

  7. I am 74 and enrolled in Medicare advantage plan with United Healthcare since last several years. I am looking for a comparable plan which gives back $95/month in Texas. Please help if you have any knowledge about it.

    1. Hi Mohammed! There are Medicare Advantage plans that offer Part B premium reductions in most states. Give us a call or complete our rates form so we can collect some information, including your zip code, to see which carriers offer them in your area.

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