Preliminary CMS 2013 Medicare Advantage payment and policy guidelines

March 1, 2012

CMS released the 2013 preliminary Medicare Advantage payment and policy guidelines last week. They will finalize this on April 2nd. The guidelines published in April may vary slightly from the information presented here, but it should be very close.

The preliminary estimate of the Medicare Advantage rate increase for 2013 is 2.47%, which is a weighted average across all counties. Consistent with the election year politics, this will be the highest rate increase proposed in 4 years. This will help ensure retirees maintain a choice of plans without significant increases in premiums or decrease in benefits. If macro health trends remain low as it did last year, we could see another year of low single digit premium trends for MAPD plans.

Here is an excellent summary of the advance notice put together by the Gorman Health Group.

Addtional resources:

CMS Press Release

Reuters article

Visit Extend Health to use the ExtendExchange™ platform – the nation’s largest private Medicare exchange.

2 Responses to “Preliminary CMS 2013 Medicare Advantage payment and policy guidelines”

  1. meddiva1 said

    I am confused — is the premium rate increasing 2.47 percent, or is the growth rate of actual MA plans increasing 2.47 percent? I read this as the number of plans is increasing by 2.47 percent, which is why consumers will have more choices and why this extra competition will keep premium prices down.

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