Healthcare Finance News January 13, 2025
Susan Morse

AMA says it’s unbelievable that insurance companies are getting a pay increase while physician practices are struggling to survive.

Medicare Advantage plans get a 4.3% pay hike in a proposal released by the Centers for Medicare and Medicaid Services on Friday.

If finalized, the proposed 2026 Advance Notice would result in a net increase of over $21 billion to MA plans in 2026.

The 2024 Trustees Report projects total federal payments to MA plans in 2026 will be $590.9 billion.

Over the next decade, the federal government expects to spend $9.2 trillion on MA payments to plans, CMS said. Of this amount, $1.3 trillion is in MA rebate dollars used for supplemental benefits and premium buy-downs.

The payment rate...

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