What to Know About How Medicare Pays Physicians

(By Alex Cottrill, Juliette Cubanski, and Tricia Neuman for The Kaiser Family Foundation Published: Mar 24, 2025)

More than 67 million people—20% of the U.S. population—receive their health insurance coverage through the federal Medicare program. Among the most commonly used services that Medicare covers are physician services and other outpatient services covered under Medicare Part B. In 2021, 9 out of 10 beneficiaries in traditional Medicare used physician and other Part B medical services. Nearly half of the $1 trillion in gross Medicare benefit spending in 2023 (49% or $493 billion) was spent on Part B services. Medicare Part B spending accounts for 25% of all national spending for physician and clinical services. Continue reading here…

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