10 key differences between Medicare Advantage and traditional Medicare

Becker's Healthcare April 12, 2023
Rylee Wilson

Medicare Advantage is growing in popularity — almost half of Medicare beneficiaries were enrolled in the program in 2022.

Here are 10 ways the public-private partnership differs from traditional Medicare.

1. Payments differ between the two programs. In Medicare Advantage, insurers are paid a set amount per beneficiary, depending on their age and health status. Insurers then pay providers for beneficiaries’ health expenses. Traditional Medicare uses the fee-for-service model, where providers are paid per service delivered.
2. Medicare Advantage enrollees typically have a set network of providers for non-emergency care. Traditional Medicare enrollees can receive care from any provider that accepts Medicare.
3. Most Medicare Advantage plans offer supplemental benefits not included in traditional Medicare. In 2022, almost all Medicare...

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