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Medicare Advantage plans see 0.25% rate hike for 2018

February 2, 2017

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The CMS is proposing a modest increase in baseline Medicare Advantage payment rates for 2018 of 0.25% on average, down from 0.85% last year. The agency will also consider not enforcing planned cuts to employer-based Medicare Advantage plans.When factoring in the risk coding tendencies, the average change in Medicare Advantage insurers’ revenue is expected to climb 2.75%, according to a release from the CMS posted late Wednesday.

That compares with 3.05% in 2017.The agency is again proposing higher payments to plans that enroll large amounts of low-income seniors that are eligible for Medicare and Medicaid.

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