By Mary Beth Donahue, President and CEO, Better Medicare Alliance, and Susan Dentzer, President and CEO, America’s Physician Groups More than 35 million adults age 65 and older and people with disabilities now choose Medicare…
Payment
Plans must cover the same benefits as Traditional Fee-For-Service (FFS) Medicare, and these payments are risk adjusted to reflect the specific characteristics and anticipated cost of providing care to each beneficiary. Within this capitated payment, plans, providers, and community-based partners must work together to effectively care for the beneficiary. The goal of managing within a fixed payment is to encourage coordinated care that emphasizes prevention, customized care, and innovation to improve outcomes and prevent avoidable adverse events.
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MedPAC’s Spending Comparison Undercounts the Value of Medicare Advantage
September 3, 2026 MedPAC reports that the federal government spends more per beneficiary in Medicare Advantage than in Fee-for-Service Medicare. That conclusion is widely cited, and it directly informs federal payment policy. But conclusions about spending are shaped…
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SUMMARY: MedPAC’s Spending Comparison Undercounts the Value of Medicare Advantage
September 3, 2026 MedPAC reports that the federal government spends more per beneficiary in Medicare Advantage than in Fee-for-Service Medicare. That conclusion is widely cited, and it directly informs federal payment policy. But conclusions about spending are shaped…