Health Insurance Companies To obtain lower payments to Medicare Advantage plans next year

Health Insurance Companies To obtain lower payments to Medicare Advantage plans next year -

This week, the Centers for Medicare and Medicaid services announced that they will reduce payments to health insurance companies for Medicare Advantage plans from 4 to 4.5 percent.

There is a promise kept by the Obama administration who said they would reduce the private health insurance provides in part to help fund a major health care and insurance revision disease, reported the Wall Street Journal

According to the WSJ article, insurers had expected the reductions -. but not before 2011.

Therefore, when and if these cuts go through, what this means for the average insured in their golden years?

General word of the insurance industry is that those who have Medicare Advantage will be reduced or increased premiums benefits. Most likely it would be this one because, honestly, probably the rate increase less hassle for insurers.

Blue Cross Blue Shield Association said the increases would average between $ 50 and $ 80, wrote the WSJ article.

So what do these rate increases to the approximately 10 million people are enrolled in the Medicare Advantage plan? Perhaps more drop and go to regular Medicare. Perhaps the insurance companies make too much of a stench and the Medicare Advantage market will not be significantly affected.

As we seem to say much here ... we'll have to wait and see.

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