MEDICARE ADVANTAGE 2013 OVERVIEW_PART I
In 2013, 14.4 million Medicare beneficiaries are enrolled in Medicare Advantage plans, an increase of more than 1 million (9.7%) from 2012. Despite concerns that payment changes enacted in the Affordable Care Act of 2010 (ACA) would lead to reductions in enrollment, enrollment has increased by 30 percent since 2010. Enrollment growth has averaged about 10 percent annually since 2009 and enrollment has grown by a factor of 2.6 from 2005. About 28 percent of Medicare beneficiaries are enrolled in Medicare Advantage plans in 2013, ranging from 49 percent of beneficiaries in Minnesota to less than one percent and three percent of beneficiaries, respectively in Alaska and Wyoming.
This growth is a continuation of the rapid growth in enrollment that occurred concurrently with the introduction of Part D in 2006, and the implementation of other changes to the Medicare Advantage program authorized by the Medicare Prescription Drug, Improvement and Modernization Act (MMA) of 2003. This growth in enrollment has occurred despite the fact that the average number of plans available to enrollees nationwide declined from a high of 48 plans in 2009 to 20 plans in 2012 and 2013.
While the vast majority of beneficiaries (98%) have access to a MA-PD with no premium, slightly more than half (55%) of beneficiaries are enrolled in a zero-premium plan in 2013. All Medicare Advantage plans have a limit on out-of-pocket spending, and nearly half of all Medicare Advantage enrollees are in a plan with a limit at or below $3,400 per year.
Despite the increasing diversity in plans with Medicare Advantage enrollment since the MMA was enacted, the majority of enrollees still are in HMOs. In 2013, 65 percent of Medicare Advantage enrollees are in HMOs, 22 percent are enrolled in local PPOs, 7 percent are enrolled in regional PPOs, and 4 percent are enrolled in private fee-for-service (PFFS) plans.
Nationally, Medicare Advantage enrollment tends to be concentrated among a small number of firms with five firms or affiliates accounting for two-thirds of all Medicare Advantage enrollment.
In 2013, 14.4 million Medicare beneficiaries are enrolled in Medicare Advantage plans, an increase of more than 1 million (9.7%) from 2012. Despite concerns that payment changes enacted in the Affordable Care Act of 2010 (ACA) would lead to reductions in enrollment, enrollment has increased by 30 percent since 2010. Enrollment growth has averaged about 10 percent annually since 2009 and enrollment has grown by a factor of 2.6 from 2005. About 28 percent of Medicare beneficiaries are enrolled in Medicare Advantage plans in 2013, ranging from 49 percent of beneficiaries in Minnesota to less than one percent and three percent of beneficiaries, respectively in Alaska and Wyoming.
This growth is a continuation of the rapid growth in enrollment that occurred concurrently with the introduction of Part D in 2006, and the implementation of other changes to the Medicare Advantage program authorized by the Medicare Prescription Drug, Improvement and Modernization Act (MMA) of 2003. This growth in enrollment has occurred despite the fact that the average number of plans available to enrollees nationwide declined from a high of 48 plans in 2009 to 20 plans in 2012 and 2013.
While the vast majority of beneficiaries (98%) have access to a MA-PD with no premium, slightly more than half (55%) of beneficiaries are enrolled in a zero-premium plan in 2013. All Medicare Advantage plans have a limit on out-of-pocket spending, and nearly half of all Medicare Advantage enrollees are in a plan with a limit at or below $3,400 per year.
Despite the increasing diversity in plans with Medicare Advantage enrollment since the MMA was enacted, the majority of enrollees still are in HMOs. In 2013, 65 percent of Medicare Advantage enrollees are in HMOs, 22 percent are enrolled in local PPOs, 7 percent are enrolled in regional PPOs, and 4 percent are enrolled in private fee-for-service (PFFS) plans.
Nationally, Medicare Advantage enrollment tends to be concentrated among a small number of firms with five firms or affiliates accounting for two-thirds of all Medicare Advantage enrollment.
