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The Kaiser Family
Foundation recently released a new issue
brief showing how growth in Medicare Advantage (MA)
enrollment and overpayment caused an estimated $7 billion in additional
Medicare spending in 2019. This analysis comes just before the
anticipated release of the Medicare trustee’s report, an annual projection
of Medicare spending and trust fund solvency.
MA is a private plan option that people with Medicare can choose instead
of fee-for-service Original Medicare. MA
enrollment continues to grow, although there are clear and
important trade-offs
between the two coverage options.
Though often
assumed to be efficient, MA has
never saved the Medicare program money. Instead, spending
per MA enrollee continues
to outpace spending for Original Medicare beneficiaries.
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