Massive Medicare Advantage Cuts

Robert Book /

President Barack Obama has repeatedly said, “If you like your health plan, you can keep it.” But is that true?

Most likely not, if your plan is a Medicare Advantage (MA) plan. MA is the “private option” within Medicare in which private health insurers are paid a fixed monthly fee to provide health benefits to their enrollees. They must provide at least the same minimum benefits as traditional fee-for-service (FFS) Medicare, but most MA plans provide more benefits, often with lower co-pays and deductibles, and some provide a rebate of the normal Medicare Part B premium. Medicare beneficiaries may select any MA plan offered in their area, and about 24 percent take advantage of this option. Applicants for MA cannot be rejected, and they pay the same premium regardless of their age, sex, or pre-existing conditions. (more…)