A recent news segment on Fox Business highlights the story of Medicare Advantage beneficiary Gerald Wrench, who discusses the value of Medicare Advantage and his concern that new proposed cuts to the program could negatively impact seniors.
The last time Medicare Advantage was cut significantly seniors were impacted by plan withdrawals and service reductions. Recently, 258 members of Congress signed bipartisan letters to CMS urging the agency to protect seniors in Medicare Advantage, including more than 200 House members and 40 senators. A broad array of other organizations – representing employers, providers, consumers, lawmakers, and health care stakeholders – have also sent letters urging the agency to keep rates flat to protect seniors from further harm in 2015.
If the new changes proposed by CMS for 2015 are implemented, the program would be hit by a double-digit cut over just a two-year period resulting in increased costs, reduced benefits, and fewer coverage options for seniors, according to a recent Oliver Wyman report. New state-by-state data from Oliver Wyman show the estimated impact of the proposed payment cuts for states across the country. Seniors will see the impact of any new payment cuts in late October 2014, when they begin enrolling in their 2015 Medicare Advantage coverage.
