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Medicare Advantage Plans Under Scrutiny

A new study of the private Medicare Advantage plans shows that the cost and complexity of the program has increased with little evidence of improved care for the 10.1 million enrollees.

Democrats have been looking at this program and will consider cutting the payments that the private insurers received. The plan is said to cost the government 13% more than it would spend if they had been covered by regular Medicare.

The Medicare Advantage plans sometimes offer additional benefits like basic vision or dental care to entice members to enroll in the plans. President Elect Barack Obama is targeting Medicare Advantage plans so there may be some reductions in payouts to the insurers, which may mean reduced benefits for policy holders at some point in the future.

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