Insurers Receive 2.5% Medicare Advantage Rate Increase for 2027
The Centers for Medicare & Medicaid Services (CMS) has announced a 2.5% increase in Medicare Advantage payments for 2027, amounting to over $13 billion. This increase is significantly larger than the flat rate of 0.09% proposed earlier this year. The decision is expected to benefit major health insurers like UnitedHealth Group, CVS Health, Humana, and Elevance Health, who have been facing challenges in managing medical expenses for a growing number of older adults enrolled in Medicare Advantage plans. The finalized policies aim to advance CMS's vision of a sustainable and stable program that offers choice to Medicare beneficiaries and acts as a responsible steward to taxpayers. 
