Medicare Part B
The Medicare component covering outpatient medical services, doctor visits, and preventive care.
What is Medicare Part B?
Medicare Part B is the medical insurance component of Original Medicare, covering outpatient services including doctor and specialist visits, preventive care, lab tests, X-rays, durable medical equipment (wheelchairs, walkers, etc.), outpatient surgery, mental health services, and some home health care. Unlike Part A, Part B requires a monthly premium paid by virtually all beneficiaries. The standard Part B premium in 2024 is $174.70/month, though higher-income beneficiaries pay more through an Income-Related Monthly Adjustment Amount (IRMAA). Part B has an annual deductible ($240 in 2024), after which Medicare pays 80% of the Medicare-approved amount for most services and the beneficiary pays 20% coinsurance — with no out-of-pocket maximum. Many beneficiaries purchase a Medigap supplemental plan to cover the 20% coinsurance exposure.
Example
A Medicare beneficiary visits their cardiologist (outpatient). The Medicare-approved amount for the visit is $200. After meeting the Part B deductible, Medicare pays $160 (80%) and the beneficiary owes $40 (20%) out of pocket. Without a Medigap plan, repeated specialist visits can add up significantly since there is no annual out-of-pocket cap.
Source: Medicare.gov — Part B