Keep Moving. Nothing to See Here. Just Another Double-Digit Increase in Medicare Advantage Spending

4sight Health January 18, 2023
David Burda

I’m starting to run out of clever headlines to tell the same story. Spending on Medicare Advantage plans rose by double digits again in 2021, according to the latest National Health Expenditure data released by CMS in December, and no one seems that interested or willing to do anything about it.

Federal outlays for MA plans rose 14.1 percent in 2021 to about $416.9 billion. That follows:

• A 15.6 percent increase in 2020 (revised downward by CMS from 17.1 percent)
• A 15.2 percent increase in 2019 (revised downward by CMS from 15.3 percent)
• A 12.6 percent increase in 2018
• A 10.1 percent increase in 2017

By comparison, total Medicare spending in 2021 rose 8.4 percent to about $900.8...

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