Would Not Have To Pay Increase In Part B Premium

JANUARY 2010 VOICE: Hopefully, the Congress will soon issue a reprieve to that group of members who are being forced to pay an increase in their Medicare Part B premium beginning January 1. Currently, legislation (H.R. 3631) is moving through the Congress that would stop any increase from taking effect.

As we reported earlier this fall (September Voice), members, who had to pay directly for Part B, would be hit with a higher premium. Beginning January 1, these "direct-pays" would have their Part B premium increase from the current $96.40 to $110.50 monthly.

"When we complained about this premium increase for some of our members in The Voice, we also contacted our congressional delegation to see what could be done to correct the inequity," explains Insurance Coordinator Cheryl Stillman. "It simply wasn't fair to have this group of retirees picking up the total increase in Medicare Part B for everyone else.

"Fortunately, our complaints didn't fall on deaf ears and something was done rather quickly. H.R. 3631, entitled the Medicare Premium Fairness Act, would effectively eliminate any increase in the premium increase, by requiring that everyone continue to pay the current $96.40 each month."

H.R. 3631 was placed on the fast track in Congress. With almost unanimous consent, it passed in the House of Representatives, just one day after being introduced and was sent to the Senate.

Association Urges Senate To Act

According to Legislative Liaison Shawn Duhamel, "Once in the Senate, the bill was referred to the Finance Committee. We began working with Senator Kerry and his staff, and with their help, are optimistic that the bill will be enacted sooner than later.

"Just recently, NARFE (National Association of Retired Federal Employees) asked us to sign onto a letter being sent to all Senators, urging quick action on H.R. 3631. We were the only Massachusetts organization or union to do so."

"I am so grateful that they (Congress) is doing the right thing," comments Helen Maginnis, the Scituate school system retiree whom we highlighted in the September Voice. "It's good to know that at times such as this, our voices are heard down in Washington.

"Widows, like myself, receive nothing in Social Security because of the Offset Law. We don't deserve to be treated like this."

"I agree with Helen because I too will be paying the increase," adds Stillman. "While not a direct-pay, I fall within another group - new Medicare enrollees - who will have  to pay more."

Under current federal law, there are essentially three groups that would pay it - retirees who paid Part B directly or paid an additional premium amount because of higher incomes ($85,000 for a single person and $170,000 for a couple in '09) and, third, those who enrolled in Medicare after November 1. Insurance Coordinator Cheryl Stillman is in the third category - new Medicare enrollees since she signs up for Medicare this coming April.

"I'm one of the lucky ones who fall into this group, and now everyone knows that I will be turning 65 next year," exclaims Stillman with a touch of sarcasm. "All kidding aside, I can easily sympathize with Helen and our other members, who are being forced to pay more, and now share with them the hope that the Congress will give us a reprieve and treat us like everyone else."