CMS releases final MA, Part D payment and policy changes for 2016

The Centers for Medicare & Medicaid Services late today announced final changes to the Medicare Advantage and Part D prescription drug programs for 2016, which will increase payments by a net 1.25%, on average. CMS had proposed reducing payments by an average of 0.95%. When combined with expected growth in plan risk scores due to coding, CMS said today’s changes will increase revenue for MA plans and Part D sponsors by an average 3.25%. Among other policy changes, CMS reiterates and clarifies existing rules requiring Medicare Advantage organizations to maintain accurate provider network directories for enrollees. CMS did not finalize its proposal to reduce the weight of seven measures in its star rating system to counterbalance the lack of socioeconomic adjustments but reaffirmed its commitment to further study the issue. For more, see the CMS factsheet.