BMA 2015 Advance Rate Notice Letter to Acting Administrator Slavitt

We are troubled by CMS’s proposal to apply further cuts to MA in 2016. The proposed 1 percent cut is a real cut, particularly at a time when medical costs continue to rise and following double digit cuts to the MA program in the past several years. While MA plans have absorbed a portion of the payment cuts and growing medical costs there are limits, however, on how much of the cuts plans can absorb each year. As a result, MA beneficiaries are feeling the very real impact of MA payments cuts over the past several years. A new cut in 2016 contributes to that trend and will lead to higher out-of-pocket costs, fewer benefits, and fewer choices.