The latest Medicare Advantage Payment Report released by CMS (Centers for Medicare & Medicaid Services) shows that over the past three years, Medicare Advantage plans have steadily improved. Overall, the report says that the number of hospitals, nursing homes, and home health providers, all part of the traditional Medicare program, have declined. In response, CMS has made several changes that have helped to strengthen Medicare Advantage plans. As a result of these changes, Medicare Advantage plans are showing an increased level of profitability. The Advantage Payment Report for the first quarter of 2020 is a prime example of this. Because of the changes made by CMS, medical plans are now able to offer more service at more reasonable prices. Find Medicare Advantage plans in 2021 by visiting http://www.medicareadvantageplans2021.org
The goal of the government has been to get as many people enrolled in Medicare Advantage as possible. Achieving this goal means that a medical plan has to offer adequate coverage at reasonable rates. Because of the program’s success, a number of medical providers have realized that they can offer substantial savings to their customers.Many providers have even gone as far as to increase revenue by expanding services. One way that they do this is by moving primary care physicians and specialists out of the network and into their network. In other words, they add on extras and cost to customers.They then argue that they are doing nothing wrong by doing this. But when this trend is reversed, as it has been recently, the providers find themselves facing financial challenges. When this happens, patients begin to lose confidence in the service and the provider.
This is not a sustainable trend, as it is likely that if a patient has not had an Advantage plan in place, they will be looking elsewhere for treatment. Without the money to pay for their doctor’s bills, the patients have no choice but to turn to other types of treatment. These patients then become ineligible for Medicare and must depend on private insurance.Another problem that Medicare Advantage plans have faced recently is the inability of providers to convince consumers to switch to partnership health plans. The reason is simple: there is simply no demand for them. By definition, Partnership Health Plans is those that allow patients to get care from private-sector doctors or health clinics.
This means that those patients are already insured, thus the amount of insurance that they pay is lower than that of those patients who need to rely on the private sector. Additionally, partnership plans offer attractive discounts on prescription drugs and some procedures. Because of these incentives, providers have decided that it is better to provide less service than to not provide any at all.For this reason, the traditional Medicare program has also made it clear that they do not want to see more Plans that are just like Partnership Health Plans. Instead, they want to maintain their status as the preferred provider. This, in effect, would mean that the traditional Medicare program would have to accept Partnership Health Plans as well.
To date, it is doubtful that the Obama Administration will ever change their stance on partnership health plans. In this sense, it is likely that in the next three years, the situation with other types of plans will only get worse. It is doubtful that either side will budge until the next presidential election.What can you do about the impending decline in the number of Medicare Advantage plans? First, you should have your plan and understand all of its features. Secondly, you should contact your state legislators and express your dissatisfaction with the proposed changes. If you cannot get the attention of your State Representative, try your local representative. Lastly, don’t let a lack of support make you look foolish.