Healthcare DIVE January 30, 2024
Insurers’ MA earnings were 2% lower in 2022 than in 2019, signaling profits in the lucrative insurance program may be weakening.
Dive Brief:
- Medicare Advantage is still growing, but the popular — and lucrative — privately run insurance offering could be becoming less profitable for payers, according to a report by Moody’s Investors Service.
- Insurers’ earnings from MA were 2% lower in 2022 than in 2019, despite membership gains and premium growth, the credit rating agency found.
- Insurers’ MA segments will likely continue to be pressured this year, as seniors utilize more medical care and reimbursement rates tick down for the first time in years, Moody’s said.
Dive Insight:
In MA, the federal government pays insurers...