Dive Brief:
- The Centers for Medicare & Medicaid Services (CMS) announced this week that Medicare Advantage premiums will remain stable for 2016, and reiterated premiums in the Medicare Prescription Drug Program (Part D) are also projected to remain stable next year.
- CMS adds enrollment is expected to increase for a sixth straight year, bringing the number of Medicare Advantage plan members to a new high.
- The details were highlighted as CMS released its data on premiums and costs for Medicare health and drug plans for 2016.
Dive Insight:
According to CMS, the majority of Medicare Advantage enrollees (59%) can expect no increase in premiums for 2016. It estimates the average premium will decrease by $0.31, going from an average of $32.91 in 2015 to an average of $32.60 in 2016.
“Seniors and people with disabilities continue to experience stable premiums in Medicare health and drug plans while benefiting from a transparent and competitive marketplace,” Sean Cavanaugh, CMS deputy administrator and director of the Center for Medicare, said in a prepared statement. “Medicare Advantage and prescription drug plans remain affordable and provide high quality care.”
CMS credits the affordability to the Affordable Care Act, noting in the time between 2010 and 2016, premiums are projected to be down by almost 10% while enrollment is projected to be up by more than 50%.