The Centers for Medicare and Medicaid Services (CMS) recently announced a new “Premium Stabilization Demonstration” for Medicare Part D plans intended to offset the higher premium costs expected to arise from the Inflation Reduction Act’s (IRA) Part D redesign, which shifted more financial liability from the government to Part D plans.
CMS’ three-year stabilization plan, which comes just a few months before the presidential election, would attempt to stave off a significant Part D premium increase triggered by the IRA by funneling $7.2 billion to insurers.
Although the demonstration is marketed as “voluntary,” any insurer refusing participation would not be able to offer competitive prices; CMS will allocate this additional 382.3-percent increase in subsidies (compared to last year) without congressional approval to cover for the fallout of the IRA.
These changes should raise significant concern. CMS is paying down and capping insurance premiums for the next year, while also shifting the risk of PDP coverage from private insurance companies onto the taxpayers, to bail out insurers and keep premiums low. Effectively, the Biden administration is forcibly keeping Part D premiums artificially “stable” on the taxpayer’s dime.
www.americanactionforum.org
Nothing to see here. Move along folks . . . We have a democracy to save . . .
CMS’ three-year stabilization plan, which comes just a few months before the presidential election, would attempt to stave off a significant Part D premium increase triggered by the IRA by funneling $7.2 billion to insurers.
Although the demonstration is marketed as “voluntary,” any insurer refusing participation would not be able to offer competitive prices; CMS will allocate this additional 382.3-percent increase in subsidies (compared to last year) without congressional approval to cover for the fallout of the IRA.
These changes should raise significant concern. CMS is paying down and capping insurance premiums for the next year, while also shifting the risk of PDP coverage from private insurance companies onto the taxpayers, to bail out insurers and keep premiums low. Effectively, the Biden administration is forcibly keeping Part D premiums artificially “stable” on the taxpayer’s dime.
CMS Puts Part D on Life Support - AAF
The Centers for Medicare and Medicaid Services (CMS) recently announced a new “Premium Stabilization Demonstration” for Medicare Part D plans intended to offset the higher premium costs expected to arise from the Inflation Reduction Act’s (IRA) Part D redesign, which shifted more financial...
www.americanactionforum.org
Nothing to see here. Move along folks . . . We have a democracy to save . . .
