Becker's Healthcare February 13, 2024
Facing rising interest rates and regulatory scrutiny, private equity investments in the Medicare Advantage space are slowing down, according to the Private Equity Stakeholder Project.
The watchdog group published a report Feb. 13 breaking down private equity investments in Medicare Advantage companies. Investments in the space reached a peak in 2021 before slowing down in 2022 and 2023, according to the report. The increase was possibly spurred by “industry-friendly” rollbacks on marketing regulations.
New CMS regulations on marketing and broker payments in the Medicare Advantage space could be deterring investors, according to the Private Equity Stakeholder Project. CMS has proposed further regulations in the space, including limiting plan payments to...