Your 2027 plan may be at risk.
“The Trump administration plans to increase payments to next year’s Medicare Advantage plans by less than 0.1% on average — far below what the industry had expected.
Several Wall Street analysts expected pay increases of 4%-6%, but a crucial measure of Medicare spending came in below consensus estimates. The stock prices of the nation’s largest Medicare Advantage insurers — UnitedHealth Group, Humana, and CVS Health — all fell by more than 9% in after-hours trading.
Trump’s Centers for Medicare and Medicaid Services, led by Mehmet Oz, also proposed to restrict further how insurers can code the illnesses of their Medicare Advantage enrollees.
The regulation likely will lead to blowback from the health insurance industry, which has criticized recent changes to Medicare Advantage and argued their profit margins have taken hits.”
Source: stat news.com
Given that Medicare Advantage plans cost Medicare more than original Medicare when they were supposed to save money, these changes are hard to criticize.
However, don’t expect the insurance companies to proceed with business as usual.
If these changes go into effect, they will be a double whammy and you can expect the MA plans to react with higher premiums or reduced benefits or both and possibly simple dropping out of the market entirely.
QUINNSCOMMENTARY 