Major Health Insurers Offering Medicare Advantage Plans Prepare for Lower Earnings Under ACA
Several major health insurers that offer Medicare Advantage plans are bracing for lower earnings next year because of changes under the Affordable Care Act. When private Medicare plans were launched during the George W. Bush administration, they were promised larger government payments as an incentive to participate, but scheduled reductions in government funding for MA plans under the ACA are expected to bring payments more in line with those for traditional Medicare services.
- "Tough Prognosis for Health Insurers" (Martin, Wall Street Journal, 10/17).