The Medicare percentages that changed for 2024

Medicare's cost-sharing percentages — what you pay and what Medicare pays — stayed the same in 2024. Part B covers 80% of approved services after you meet your deductible, and you pay the remaining 20%. Part A hospital stays work differently: Medicare covers all costs for days 1–60 of a hospital stay in a benefit period, you pay a deductible for days 61–90, and costs rise for days 91 and beyond. These percentages have not changed year to year for many years.

What did change in 2024 are the dollar amounts attached to those percentages. The Part B deductible increased, the Part A hospital deductible increased, and premiums for Part B and Part D shifted. Because these numbers change annually based on inflation and program costs, it matters to check your specific costs each year rather than assume they stayed the same.

Key Takeaways

  • Medicare Part B still covers 80% of doctor visits and outpatient services after your deductible; you pay 20%.
  • Part A hospital coverage percentages did not change, but the dollar amounts you owe for hospital stays increased in 2024.
  • Part B and Part D premiums and deductibles change each year, so you should review your costs during the annual enrollment period.
  • Your actual out-of-pocket costs depend on which type of Medicare you have — Original Medicare, a Medicare Advantage plan, or a Medigap policy.

How Part A and Part B percentages work

Part A covers hospital stays, skilled nursing care, and hospice. For hospital stays, Medicare covers 100% of costs for the first 60 days after you pay the deductible. Days 61–90 require a daily coinsurance payment from you. Days 91 and beyond are covered only if you use your "lifetime reserve days," which are limited. Once those are exhausted, you pay all costs.

Part B covers doctor visits, outpatient services, and medical equipment. After you pay the annual deductible, Medicare covers 80% of the approved amount for most services, and you pay 20%. Some services — like preventive care — are covered at 100% with no coinsurance. Others, like mental health services, may have different percentages.

These percentages explore to the amount Medicare approves, not the amount a provider charges. If a doctor charges more than Medicare's approved amount and does not accept Medicare assignment, you may owe the difference on top of your 20% coinsurance.

What changed in dollar amounts for 2024

The Part A hospital deductible for 2024 is $1,632 per benefit period — higher than 2023. The Part B deductible is $240 for 2024. Part B premiums vary by income; most people pay the standard premium, but higher earners pay more through Income-Related Monthly Adjustment Amounts (IRMAA). Part D prescription drug premiums and deductibles also vary by plan and change yearly.

These dollar amounts are set by Medicare each fall for the following year. They are published in the Medicare & You handbook, which arrives in the mail in October, and on Medicare.gov. If you receive a notice showing your premium or deductible changed, that change is based on the 2024 figures.

How Medicare Advantage and Medigap plans affect your percentages

If you have a Medicare Advantage plan (Part C), the percentages you pay are set by your plan, not by Medicare. Your plan may cover 80% of services like Original Medicare does, or it may have different percentages — some cover 90% of certain services or charge a flat copay instead of coinsurance. You need to check your plan's documents to know what you actually owe.

If you have a Medigap policy, it fills in gaps left by Original Medicare. Depending on which Medigap plan you buy, it may cover your Part B coinsurance (the 20% you would normally pay), your Part A deductible, or both. The percentage Medicare pays stays the same; Medigap just reduces what comes out of your pocket.

When to review your costs during open enrollment

Open enrollment runs from October 15 to December 7 each year. This is when you can change from Original Medicare to a Medicare Advantage plan, switch between Medicare Advantage plans, or add or change a Part D prescription drug plan. During this window, you should review the costs for 2024 — premiums, deductibles, and coinsurance amounts — for any plans you are considering.

Your costs depend on which doctors and pharmacies you use, which medications you take, and how much care you expect to need. A plan that costs less in premiums might cost more in coinsurance if you use many services. Medicare.gov has a plan comparison tool that lets you enter your doctors and medications to see estimated costs side by side.

Understanding your Medicare Summary Notice

After you receive care, Medicare sends you a Medicare Summary Notice (MSN) showing what the provider charged, what Medicare approved, what Medicare paid (usually 80%), and what you owe (usually 20%). This notice is not a bill — it is a record of what happened. If you have Original Medicare and no Medigap policy, you will receive a separate bill from the provider for your coinsurance amount.

Check your MSN against the provider's bill. If the amounts do not match, contact Medicare at 1-800-MEDICARE to report the discrepancy. Errors in what Medicare approved or paid can affect how much you owe.

Frequently Asked Questions

Does Medicare cover 100% of anything?

Yes. Part B covers preventive services at 100% with no coinsurance — things like annual wellness visits, cancer screenings, and flu shots. Part A covers 100% of hospital costs for days 1–60 of a stay after you pay the deductible. Some mental health services and rehabilitation services also have different percentages than the standard 80/20 split.

What if my doctor does not accept Medicare assignment?

If a doctor does not accept assignment, they can charge up to 15% more than Medicare's approved amount. You pay your normal 20% coinsurance plus that extra 15%. This is called "balance billing." Some states limit balance billing further. Ask your doctor before your visit whether they accept Medicare assignment.

Do I pay the same percentage with every Medicare Advantage plan?

No. Each Medicare Advantage plan sets its own percentages and copays. One plan might cover 80% of doctor visits while another charges a $25 copay per visit. You must read your plan's coverage documents to know what you will owe. Plans change their percentages and copays each year.

Can I change my coverage if I think my percentages are too high?

Yes, during the annual open enrollment period from October 15 to December 7. You can switch from Original Medicare to a Medicare Advantage plan, change between Medicare Advantage plans, or add a Medigap policy to reduce your out-of-pocket costs. Outside this window, you can only change if you have a may have access to life event like moving or losing other coverage.

Where do I find the exact percentages and dollar amounts for my plan?

For Original Medicare, check your Medicare & You handbook or Medicare.gov. For Medicare Advantage or Medigap, check your plan's Summary of Benefits and Coverage document, which your plan mails to you each year. You can also call your plan directly or contact 1-800-MEDICARE to ask about your specific costs.