My husband passed away and now my Medicare premiums went up. Why does losing someone raise your costs?
Answered by 19 licensed agents
This can be complicated. It has to do with you & your husband's "Adjusted Gross Income" or "AGI" which is taken from your 2-yr. old tax return. If you've earned more than your husband during your respective careers, once he is out of the picture, Medicare only looks at your new and "individual" tax return. The least amount in 2025 for the Part B premium is $185.00 (as an individual filer, that means the "AGI" is $103,000.00 or less; but it can be as much as $594.00 per month if your AGI is $500K or greater). My best advice for you would be to make an appointment with a counselor at your nearest Social Security office to verify that the above example happened to be your case, or not.
Thats not a lot of info to go on but I'm assuming you're talking about a Medicare Supplement. If you both had your plans at the same supplement company, you would/ may have lost the household discount, that's the first thing that comes to mind. You can call your carrier and ask. Supplements can be shopped anytime of the calendar year so you might look into that. I'm licensed in a lot of states so if you care to you can contact me. www.medicareinsurance4all.com
Firstly, I’m sorry for your loss. I understand it’s a hard and confusing times for you.
One has nothing to do with the other though in this scenario. Currently most all companies are seeing increases for their policyholders. I would ask your agent or carrier directly what they correspond the increase costs to.
Medicare Part B premiums are calculated using your income from 2 year prior. If you had a higher income and were filing jointly, your income was calculated as such. Now that you are single, the same income is used to calculate, but all towards you as an individual. You should file an appeal, which I can help with.
It most generally has to do with the income that you and your spouse had. With the spouse being deceased, it may throw you personally into a higher tax bracket if your income was higher. Your Part B and D monthly premium could go up if that is the case
I believe you are referring to your Part B premium. Usually that cost is based on your income 2 years ago. There are brackets to determine this cost based on your income. If you gained some of your husbands income, but now there is only you filing single instead of two of you filing jointly, your income could be in a different bracket now.
You can submit a form SSA-44 to have your income reconsidered based on a life changing event.
Some insurance companies offer a spousal or household discount. When one member of the household passes away, the discount is no longer extended for just the one person left in the home.
You may have had a household discount with a Medicare Supplement. When that person passes away, you no longer qualify for the discount unless another adult is living with you. Different companies have different age requirements. Some are 18 and some require a 50+ year old to live with you.
It's understandable to feel frustrated & confused when your Medicare premiums increase after the passing of your husband. Here's why this might happen:
Income-Related Monthly Adjustment Amount (IRMAA): Your Medicare Part B and Part D premiums are determined, in part, by your income. After your husband's death, your income may change, potentially shifting you into a different income bracket & affecting your Income-Related Monthly Adjustment Amount (IRMAA).
Change in Tax Filing Status: When your husband passed away, your tax filing status changed from "married filing jointly" to "single" in the year following his death. This can impact your Modified Adjusted Gross Income (MAGI), which is used to calculate your IRMAA.
Income Thresholds: There are different income thresholds for single filers versus those married filing jointly, & the loss of your husband's income might put you above the threshold for the higher IRMAA, even if your income decreased overall.
Loss of Spousal Discounts: If you had a Medicare Supplement plan & were receiving a spousal discount, this discount would no longer apply after your husband's passing, leading to an increase in your premium.
Increased Healthcare Needs: A study published in the National Institutes of Health (NIH) indicates that spousal death can lead to increased healthcare costs & usage for the surviving spouse, which may influence your Medicare premiums in some ways.
What you can do:
Contact Social Security: You can contact the Social Security Administration to discuss your situation & see if your new income level might qualify you for a reduced IRMAA.
Appeal IRMAA: You can appeal your IRMAA determination if you believe it is incorrect.
Review Your Medicare Plan: It's important to review your current Medicare coverage & consider your options.
Consult a Financial Advisor: A financial advisor specializing in retirement planning can help you understand how losing your husband might impact your Medicare costs & guide you.
If you're talking about your Medicare supplement plan premiums, if you had a discount because you both had the same policy with the same company that would eliminate that and raise it somewhat but not too much
So again, I would need to understand your situation. If you'd like to talk about it give me a call.
With the loss of your husband, you are now filing a single tax return, not joint. If your income is above a certain bracket, you need to pay the IRMAA. The income bracket for a single filer is lower than the bracket for a joint, married filer, hence you are paying the IRMAA. The IRMAA is the increased Medicare Part B and Part D premiums you must pay when your income is higher than the basic bracket.
Your Medicare premiums might have increased after your husband's passing due to the Income-Related Monthly Adjustment Amount (IRMAA). This surcharge, which affects Parts B and D, is based on your modified adjusted gross income (MAGI) from two years prior, and the loss of your husband's income or benefits can shift you into a higher income bracket, triggering the surcharge.
The main reason for this is that Medicare has income limits for couples, that will effect your Medicare premiums. If one passes away you are now under the single income which can effect your premium.
Some plans give couple discounts. We will be sure you maximize all discounts when your spouse passes away. There are usually many plans and companies to choose from . With 11 different companies and over 65 plans to choose from, you will maximize your plan as we work with you to get you the best value.
This could happen if you were both on a Medicare plan with the same company. A lot of companies offer a discount when two people in the same household are enrolled with the same company. The discounts can range from 5% to 15%.
Medicare supplement plans or Medigap plans have discounts for living with a spouse or living with an adult (depending on carrier) on them which can’t get taken away at the time of death or during a plan change and move.
Your Medicare premium (Part B) should not go up because of your husband's death. Neither should your Medicare Advantage plan's premium. Only Medicare Supplement plans can have their premiums go up after a spouse dies if both spouses had the same plan and were receiveing a family discount. I cannot give a definite answer without taking a look at your situation and what type of plan you have.