Ohio Benefits Group

  • Home
  • Medicare Made Simple
  • Travel/Health Insurance
  • Long Term Care Insurance
    • Senior Home Safety
  • Benefits Blog
  • Health Care for the Individual and Employeer
  • Pension Max/Life
  • Colonial Life

CMS Sets 2018 Medicare Advantage Subsidy

4/4/2017

0 Comments

 
The Centers for Medicare & Medicaid Services said Monday it expects its payments to Medicare Advantage plan issuers to increase an average of 0.45% over 2017 levels in 2018.
CMS put that figure in its final call letter announcement for 2018.
The expected change in the per-enrollee subsidy is up from an increase of 0.25% included in a draft program proposal for 2018 posted in February, according to a 2018 call letter summary sheet.
(Related on ThinkAdvisor: 10 counties where Medicare Advantage looks like a wimp)
CMS assumes that typical 2018 enrollees will be somewhat older and sicker than 2017 enrollees, giving those enrollees higher average diagnostic intensity codes. The combination of the underlying subsidy level increase and the increasing intensity in diagnostic codes should increase overall 2018 per-enrollee revenue an average of 2.95%, CMS said.
That's up from an overall increase of 2.75% in the draft proposal.
The Medicare Part C Medicare Advantage program gives insurers the ability to sell plans that serve as an alternative to traditional Medicare A hospitalization coverage and Medicare Part B physician and outpatient services coverage.
Another program included in the final call letter announcement, the Medicare Part D prescription drug program, gives insurers the ability to sell prescription drug coverage to Medicare enrollees.
Seema Verma, President Donald Trump's newly confirmed CMS administrator, said in a statement accompanying the call letter announcement that Medicare program managers want to strengthen the Medicare Advantage and Medicare drug plan programs by "supporting flexibility and efficiency."
"These programs have been successful in allowing innovative approaches that give Medicare enrollees options that best fit their individual health needs," Verma said.
Although CMS calls the new document a "final call letter," the true final terms of the Medicare Advantage bidding process could still be subject to change, depending on the reaction of insurers and consumers.
Margaret Murray, the chief executive officer of the Association for Community Affiliated Plans, a group for nonprofit plans, put out a statement saying CMS has done a good job of trying to help member plans serve the low-income Medicare enrollees who also qualify for Medicaid.
Marilyn Tavenner, the president of America's Health Insurance Plans, who previously was the CMS administrator, said in a statement from AHIP that CMS had made some adjustments in policies.
"We believe more must be done to ensure beneficiaries are well supported in achieving their best health," Tavenner said. "We look forward to working with the agency to reduce unnecessary regulatory burdens, enhance program flexibility and innovation, and promote delivery system reform and patient engagement."
Anthem, the biggest insurer still in AHIP, is based in Indianapolis. Before Verma went to work for CMS, she ran a health coverage program consulting firm in Indiana for years.
www.thinkadvisor.com/2017/04/04/cms-sets-2018-medicare-advantage-subsidy?eNL=58e39c3a150ba09f7839616c&utm_source=TA_LifeHealthDaily&utm_medium=EMC-Email_editorial&utm_campaign=04042017


0 Comments



Leave a Reply.

    Author

    Benefits Specialist, emphasis on Healthcare and  Long Term Care Insurance

    Archives

    May 2022
    September 2021
    July 2021
    April 2021
    February 2021
    October 2020
    August 2020
    July 2020
    June 2020
    May 2020
    January 2020
    April 2019
    January 2019
    October 2018
    June 2018
    May 2018
    March 2018
    February 2018
    January 2018
    April 2017
    June 2016
    May 2016
    February 2016
    January 2016
    December 2015
    November 2015
    February 2015
    January 2015
    July 2014
    December 2013
    March 2013
    January 2013
    December 2012

    Categories

    All
    Long Term Care Insurance
    Policy
    Premium Increase
    Sex Distinct
    Women

    RSS Feed

Powered by Create your own unique website with customizable templates.