Slight Rate Increase in 2020 for Medicare Advantage Plans

///Slight Rate Increase in 2020 for Medicare Advantage Plans

Slight Rate Increase in 2020 for Medicare Advantage Plans

The Centers for Medicare and Medicaid Services (CMS) had announce on Thursday the second part of their 2020 Medicare Advantage Advance Notice, which will increase the Medicare Advantage rates by 1.59% in 2020. The rate hike is not as substantial as the rate hike for 2019, which is 3.4%.

The first section of the 2020 Medicare Advantage Advance Notice aimed to modify payments in accordance to the number of health conditions that each of the Medicare consumers have. The proposal also will consider each individual health condition for risk adjustment. 

The second part of the proposal also aims to have Medicare Advantage plans provide targeted benefits, as well as a CSR to patients who have chronic pain or addiction treatment.

The new risk adjustment model will be finalized in 2020, which is a combination of half of the old risk adjustment model from 2017 and half of the new model for 2020. The CMS will also give these plans more benefits and flexibility to help those who are chronically ill. 

 

Read the original article from Modern Healthcare here.

By | 2019-02-01T10:22:03+00:00 February 1st, 2019|Articles, Industry Updates|0 Comments