Healthcare DIVE August 18, 2021
Rebecca Pifer

Dive Brief:

  • The government spent $321 more per person for enrollees in the Medicare Advantage program compared to similar beneficiaries in traditional Medicare in 2019, according to a new Kaiser Family Foundation analysis released Tuesday. That gap amounted to an additional $7 billion in spending due to the highly popular, privately run MA program.
  • If spending per MA enrollee fell by 2% each year compared to what actuaries currently project, then total Medicare spending would be $82 billion lower than projected between 2021 and 2029, researchers found. That scenario mirrors recommendations from the Medicare Payment Advisory Commission, worried about looming insolvency in the increasingly stressed Medicare program.
  • If, however, the growth in per-person spending on MA beneficiaries was held...

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