Morning Briefing
Summaries of health policy coverage from major news organizations
1.84 Percent Rate Hike Proposed For Medicare Advantage Plans In 2019
Modern Healthcare: Medicare Advantage Plans To Receive 1.85% Rate Hike For 2019
The CMS Thursday proposed to bump up baseline Medicare Advantage payment rates for 2019 by 1.84% on average, up from the 0.45% plans received last year. The average Medicare Advantage payment rate will increase by 3.1% after taking into account the way health plans code their members' diagnoses, the CMS said. That's up from a 2.95% increase last year. (Dickson, 2/1)
Reuters: U.S. Government Proposes 1.84 Percent Hike In 2019 Payments To Medicare Insurers
The proposed rate, which affects how much insurers charge for monthly healthcare premiums, plan benefits and ultimately, how much they profit, was near analyst expectations, and insurer shares were largely unchanged in after-hours trading. UnitedHealth Group Inc, Humana Inc, Aetna Inc and WellCare Health Plans Inc are the largest sellers of Medicare Advantage health insurance. Under the program, they are paid a set rate by the government to cover member healthcare costs. (Humer, 2/1)
In other news —
The Wall Street Journal: Former CEO Of Lab Firm, Two Associates Found Liable For Defrauding Medicare
A federal jury found the former chief executive officer of a Virginia laboratory firm and two associates liable for defrauding Medicare and ordered them to pay more than $51 million in damages to the U.S. At issue in the civil case tried in a federal court in Charleston, S.C., was $126.5 million that defendants Tonya Mallory and her associates, Cal Dent and Brad Johnson, earned from a business arrangement the Justice Department deemed illegal. (Carreyou, 2/1)
