The Medi­care Pay­ment Ad­vi­sory Com­mis­sion last week ap­proved mea­sures to in­crease pay­ments to Medi­care Ad­van­tage plans by chang­ing the for­mula to de­ter­mine rates, po­ten­tially in­creas­ing fed­eral spend­ing by as much as $10 bil­lion over five years.

Modern Healthcare - - LATE NEWS -

MedPAC sug­gests MA pay­ments be cal­cu­lated us­ing only fee-for-ser­vice spend­ing data for ben­e­fi­cia­ries en­rolled in both Part A and Part B, in­stead of its cur­rent for­mula, which un­der­es­ti­mates spend­ing and po­ten­tially re­sults in plans be­ing un­der­paid. Plans, not sur­pris­ingly, lauded MedPAC’s rec­om­men­da­tion.

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