
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document affected by Public Law 106-554 Section 1(a)(6)]
[CITE: 42USC1395s]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
                       CHAPTER 7--SOCIAL SECURITY
 
        SUBCHAPTER XVIII--HEALTH INSURANCE FOR AGED AND DISABLED
 
 Part B--Supplementary Medical Insurance Benefits for Aged and Disabled
 
Sec. 1395s. Payment of premiums


(a) Deductions from section 402 or 423 monthly benefits

    (1) In the case of an individual who is entitled to monthly benefits 
under section 402 or 423 of this title, his monthly premiums under this 
part shall (except as provided in subsections (b)(1) and (c) of this 
section) be collected by deducting the amount thereof from the amount of 
such monthly benefits. Such deduction shall be made in such manner and 
at such times as the Commissioner of Social Security shall by regulation 
prescribe. Such regulations shall be prescribed after consultation with 
the Secretary.
    (2) The Secretary of the Treasury shall, from time to time, transfer 
from the Federal Old-Age and Survivors Insurance Trust Fund or the 
Federal Disability Insurance Trust Fund to the Federal Supplementary 
Medical Insurance Trust Fund the aggregate amount deducted under 
paragraph (1) for the period to which such transfer relates from 
benefits under section 402 or 423 of this title which are payable from 
such Trust Fund. Such transfer shall be made on the basis of a 
certification by the Commissioner of Social Security and shall be 
appropriately adjusted to the extent that prior transfers were too great 
or too small.

(b) Deductions from railroad retirement annuities or pensions

    (1) In the case of an individual who is entitled to receive for a 
month an annuity under the Railroad Retirement Act of 1974 [45 U.S.C. 
231 et seq.] (whether or not such individual is also entitled for such 
month to a monthly insurance benefit under section 402 of this title), 
his monthly premiums under this part shall (except as provided in 
subsection (c) of this section) be collected by deducting the amount 
thereof from such annuity or pension. Such deduction shall be made in 
such manner and at such times as the Secretary shall by regulations 
prescribe. Such regulations shall be prescribed only after consultation 
with the Railroad Retirement Board.
    (2) The Secretary of the Treasury shall, from time to time, transfer 
from the Railroad Retirement Account to the Federal Supplementary 
Medical Insurance Trust Fund the aggregate amount deducted under 
paragraph (1) for the period to which such transfer relates. Such 
transfers shall be made on the basis of a certification by the Railroad 
Retirement Board and shall be appropriately adjusted to the extent that 
prior transfers were too great or too small.

(c) Portion of monthly premium in excess of deducted amount

    If an individual to whom subsection (a) or (b) of this section 
applies estimates that the amount which will be available for deduction 
under such subsection for any premium payment period will be less than 
the amount of the monthly premiums for such period, he may (under 
regulations) pay to the Secretary such portion of the monthly premiums 
for such period as he desires.

(d) Deductions from civil service retirement annuities

    (1) In the case of an individual receiving an annuity under 
subchapter III of chapter 83 of title 5 or any other law administered by 
the Director of the Office of Personnel Management providing retirement 
or survivorship protection, to whom neither subsection (a) nor 
subsection (b) of this section applies, his monthly premiums under this 
part (and the monthly premiums of the spouse of such individual under 
this part if neither subsection (a) nor subsection (b) of this section 
applies to such spouse and if such individual agrees) shall, upon notice 
from the Secretary of Health and Human Services to the Director of the 
Office of Personnel Management, be collected by deducting the amount 
thereof from each installment of such annuity. Such deduction shall be 
made in such manner and at such times as the Director of the Office of 
Personnel Management may determine. The Director of the Office of 
Personnel Management shall furnish such information as the Secretary of 
Health and Human Services may reasonably request in order to carry out 
his functions under this part with respect to individuals to whom this 
subsection applies. A plan described in section 8903 or 8903a of title 5 
may reimburse each annuitant enrolled in such plan an amount equal to 
the premiums paid by him under this part if such reimbursement is paid 
entirely from funds of such plan which are derived from sources other 
than the contributions described in section 8906 of such title.
    (2) The Secretary of the Treasury shall, from time to time, but not 
less often than quarterly, transfer from the Civil Service Retirement 
and Disability Fund, or the account (if any) applicable in the case of 
such other law administered by the Director of the Office of Personnel 
Management, to the Federal Supplementary Medical Insurance Trust Fund 
the aggregate amount deducted under paragraph (1) for the period to 
which such transfer relates. Such transfer shall be made on the basis of 
a certification by the Director of the Office of Personnel Management 
and shall be appropriately adjusted to the extent that prior transfers 
were too great or too small.

(e) Manner and time of payment prescribed by Secretary

    In the case of an individual who participates in the insurance 
program established by this part but with respect to whom none of the 
preceding provisions of this section applies, or with respect to whom 
subsection (c) of this section applies, the premiums shall be paid to 
the Secretary at such times, and in such manner, as the Secretary shall 
by regulations prescribe.

(f) Deposit of amounts in Treasury

    Amounts paid to the Secretary under subsection (c) or (e) of this 
section shall be deposited in the Treasury to the credit of the Federal 
Supplementary Medical Insurance Trust Fund.

(g) Premium payability period

    In the case of an individual who participates in the insurance 
program established by this part, premiums shall be payable for the 
period commencing with the first month of his coverage period and ending 
with the month in which he dies or, if earlier, in which his coverage 
under such program terminates.

(h) Exempted monthly benefits

    In the case of an individual who is enrolled under the program 
established by this part as a member of a coverage group to which an 
agreement with a State entered into pursuant to section 1395v of this 
title is applicable, subsections (a), (b), (c), and (d) of this section 
shall not apply to his monthly premium for any month in his coverage 
period which is determined under section 1395v(d) of this title.

(Aug. 14, 1935, ch. 531, title XVIII, Sec. 1840, as added Pub. L. 89-97, 
title I, Sec. 102(a), July 30, 1965, 79 Stat. 306; amended Pub. L. 89-
384, Sec. 4(c), Apr. 8, 1966, 80 Stat. 106; Pub. L. 90-248, title I, 
Sec. 166, title IV, Sec. 403(g), Jan. 2, 1968, 81 Stat. 874, 932; Pub. 
L. 92-603, title II, Secs. 201(c)(6), 263(a)-(d)(3), Oct. 30, 1972, 86 
Stat. 1373, 1448, 1449; Pub. L. 93-445, title III, Sec. 306, Oct. 16, 
1974, 88 Stat. 1358; Pub. L. 98-369, div. B, title III, 
Sec. 2354(b)(11), title VI, Sec. 2663(j)(2)(F)(ii), July 18, 1984, 98 
Stat. 1101, 1170; Pub. L. 99-53, Sec. 2(g), June 17, 1985, 99 Stat. 94; 
Pub. L. 100-360, title II, Sec. 212(b)(1), July 1, 1988, 102 Stat. 740; 
Pub. L. 100-485, title VI, Sec. 608(d)(10)(B), Oct. 13, 1988, 102 Stat. 
2415; Pub. L. 101-234, title II, Sec. 202(a), Dec. 13, 1989, 103 Stat. 
1981; Pub. L. 103-296, title I, Sec. 108(c)(2), Aug. 15, 1994, 108 Stat. 
1485.)

                       References in Text

    The Railroad Retirement Act of 1974, referred to in subsec. (b)(1), 
is act Aug. 29, 1935, ch. 812, as amended generally by Pub. L. 93-445, 
title I, Sec. 101, Oct. 16, 1974, 88 Stat. 1305, which is classified 
generally to subchapter IV (Sec. 231 et seq.) of chapter 9 of Title 45, 
Railroads. For further details and complete classification of this Act 
to the Code, see Codification note set out preceding section 231 of 
Title 45, section 231t of Title 45, and Tables.


                               Amendments

    1994--Subsec. (a)(1). Pub. L. 103-296, Sec. 108(c)(2)(A), 
substituted ``Commissioner of Social Security'' for ``Secretary'' and 
inserted at end ``Such regulations shall be prescribed after 
consultation with the Secretary.''
    Subsec. (a)(2). Pub. L. 103-296, Sec. 108(c)(2)(B), substituted 
``Commissioner of Social Security'' for ``Secretary of Health and Human 
Services''.
    1989--Subsec. (i). Pub. L. 101-234 repealed Pub. L. 100-360, 
Sec. 212(b)(1), and provided that the provisions of law amended or 
repealed by such section are restored or revised as if such section had 
not been enacted, see 1988 Amendment note below.
    1988--Subsec. (i). Pub. L. 100-485 substituted ``Supplementary'' for 
``Supplemental''.
    Pub. L. 100-360 added subsec. (i) relating to transfer to flat 
prescription drug premiums to Federal Catastrophic Drug Insurance Trust 
Fund.
    1985--Subsec. (d)(1). Pub. L. 99-53 inserted reference to section 
8903a of title 5.
    1984--Subsec. (a)(2). Pub. L. 98-369, Sec. 2663(j)(2)(F)(ii), 
substituted ``Health and Human Services'' for ``Health, Education, and 
Welfare''.
    Subsec. (d)(1). Pub. L. 98-369, Sec. 2354(b)(11), substituted 
``Director of the Office of Personnel Management'' for ``Civil Service 
Commission''.
    Pub. L. 98-369, Sec. 2663(j)(2)(F)(ii), substituted ``Health and 
Human Services'' for ``Health, Education, and Welfare''.
    Subsec. (d)(2). Pub. L. 98-369, Sec. 2354(b)(11), substituted 
``Director of the Office of Personnel Management'' for ``Civil Service 
Commission''.
    1974--Subsec. (b)(1). Pub. L. 93-445 substituted ``under the 
Railroad Retirement Act of 1974'' for ``or pension under the Railroad 
Retirement Act of 1937''.
    1972--Subsec. (a)(1). Pub. L. 92-603, Secs. 201(c)(6)(A), 263(a), 
substituted ``subsections (b)(1) and (c)'' for ``subsection (d)'' and 
inserted reference to section 423 of this title.
    Subsec. (a)(2). Pub. L. 92-603, Sec. 201(c)(6)(B), inserted 
reference to section 423 of this title.
    Subsec. (b)(1). Pub. L. 92-603, Sec. 263(b), inserted ``(whether or 
not such individual is also entitled for such month to a monthly 
insurance benefit under section 402 of this title)'' after ``1937'' and 
substituted ``subsection (c)'' for ``subsection (d)''.
    Subsec. (c). Pub. L. 92-603, Sec. 263(c), struck out subsec. (c) 
covering individuals entitled both to monthly benefits under section 402 
of this title and to an annuity or pension under Railroad Retirement Act 
of 1937 and redesignated former subsec. (d) as (c).
    Subsec. (d). Pub. L. 92-603, Sec. 263(c), redesignated subsec. (e) 
as (d). Former subsec. (d) redesignated (c).
    Subsec. (e). Pub. L. 92-603, Sec. 263(c), (d)(1), redesignated 
subsec. (f) as (e) and substituted ``subsection (c)'' for ``subsection 
(d)''. Former subsec. (e) redesignated (d).
    Subsec. (f). Pub. L. 92-603, Sec. 263(c), (d)(2), redesignated 
subsec. (g) as (f) and substituted ``subsections (c) or (e)'' for 
``subsections (d) or (f)''. Former subsec. (f) redesignated (e) and 
amended.
    Subsec. (g). Pub. L. 92-603, Sec. 263(c), redesignated subsec. (h) 
as (g). Former subsec. (g) redesignated (f) and amended.
    Subsecs. (h), (i). Pub. L. 92-603, Sec. 263(c), (d)(3), redesignated 
subsec. (i) as (h) and substituted ``(c) and (d)'' for ``(c), (d), and 
(e)''. Former subsec. (h) redesignated (g).
    1968--Subsec. (e). Pub. L. 90-248 provided for reimbursement of 
civil service retirement annuitants for certain premium payments under 
supplementary medical insurance program, and substituted ``subchapter 
III of chapter 83 of Title 5 or any other law'' and ``such other law'' 
for ``the Civil Service Retirement Act, or other Act'' and ``such other 
Act'', in pars. (1) and (2), respectively.
    1966--Subsec. (i). Pub. L. 89-384 added subsec. (i).


                    Effective Date of 1994 Amendment

    Amendment by Pub. L. 103-296 effective Mar. 31, 1995, see section 
110(a) of Pub. L. 103-296, set out as a note under section 401 of this 
title.


                    Effective Date of 1989 Amendment

    Amendment by Pub. L. 101-234 effective Jan. 1, 1990, see section 
202(b) of Pub. L. 101-234, set out as a note under section 401 of this 
title.


                    Effective Date of 1988 Amendment

    Amendment by Pub. L. 100-485 effective as if included in the 
enactment of the Medicare Catastrophic Coverage Act of 1988, Pub. L. 
100-360, see section 608(g)(1) of Pub. L. 100-485, set out as a note 
under section 704 of this title.


                    Effective Date of 1984 Amendment

    Amendment by section 2354(b)(11) of Pub. L. 98-369 effective July 
18, 1984, but not to be construed as changing or affecting any right, 
liability, status, or interpretation which existed (under the provisions 
of law involved) before that date, see section 2354(e)(1) of Pub. L. 98-
369, set out as a note under section 1320a-1 of this title.
    Amendment by section 2663(j)(2)(F)(ii) of Pub. L. 98-369 effective 
July 18, 1984, but not to be construed as changing or affecting any 
right, liability, status, or interpretation which existed (under the 
provisions of law involved) before that date, see section 2664(b) of 
Pub. L. 98-369, set out as a note under section 401 of this title.


                    Effective Date of 1974 Amendment

    Amendment by Pub. L. 93-445 effective Jan. 1, 1975, see section 603 
of Pub. L. 93-445, set out as a note under section 402 of this title.


                    Effective Date of 1972 Amendment

    Section 263(f) of Pub. L. 92-603 provided that: ``The amendments 
made by this section [amending this section and sections 1395t and 1395u 
of this title] with respect to collection of premiums shall apply to 
premiums becoming due and payable after the fourth month following the 
month in which this Act is enacted [October 1972].''

                  Section Referred to in Other Sections

    This section is referred to in sections 415, 428, 1395i-2, 1395r, 
1395t of this title.
