Commonwealth Fund September 2, 2021
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A judge’s ruling may give Medicare more flexibility in how it calculates star ratings for Medicare Advantage plans — potentially addressing concerns that high ratings don’t equal high quality
Medicare changed how it calculates star ratings for Medicare Advantage plans because of the COVID-19 pandemic, with potential impacts on plans’ enrollment, compensation, and even their continued participation
The Centers for Medicare and Medicaid Services (CMS) annually assigns star ratings of 1 to 5 to Medicare Advantage (MA) plans. These ratings can affect plans’ enrollment, continued participation in MA, and plan compensation. Plans with ratings below 3 stars for three consecutive years can be terminated from the program. Under the Affordable Care Act, plans with higher ratings get additional payments,...