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November 26, 2024

New MA And Part D Rule Issued As Parting Policy Shot By Biden Administration The Biden administration issued its draft 2026 Medicare Advantage (MA) and Part D rule today. A draft is available, but the Federal Register indicates the rule was pulled back for additional clarifications and would be reposted on December 10. Due to its late posting, the rule would not be finalized before the Trump administration takes office and therefore could simply be revamped rather than be rescinded. In some ways, the rule does not have some of the mega changes that some expected in the areas of Star, risk adjustment, and more. This could be due to some sensitivity to the current financial woes of the MA industry. But there is plenty for the industry to object to. I have not done a thorough read yet of the 700-plus page draft rule, but I will do so

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November 25, 2024

Media Attacking Trump Healthcare Picks As Contrarians The mainstream media are busy attacking Donald Trump’s healthcare picks as public health and healthcare contrarians. They worry the administration could aim to set vaccine policy that is outside of the so-called mainstream. So far, Trump has named the following to lead key agencies: The media are less concerned about Oz and Makary and most concerned with Kennedy and Weldon. Some of the criticism is unfair, especially toward Makary. During the COVID years, Makary stood out as a man of science and great educator, calling out the need for COVID vaccines for those most vulnerable to the virus but reasonably pushing back on COVID vaccine hysteria and other excesses. Additional article: https://www.managedhealthcareexecutive.com/view/trump-names-picks-for-top-jobs-at-fda-and-cdc-and-also-surgeon-general  (Article may require a subscription.) #healthcare #trump #election2024 #hhs #cms #fda https://www.modernhealthcare.com/politics-policy/donald-trump-health-nominees-vaccines-fda-marty-makary-cdc-dave-weldon Hospital Price Transparency Dropping Not Increasing New findings by Patient Rights Advocate finds that just 21.1% of hospitals are

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November 22, 2024

CMS Loses Again In Court On Stars A just released court decision gives the Centers for Medicare and Medicaid Services (CMS) yet another defeat on how the agency runs the Stars program. Judge Jeremy Kernodle, of the U.S. District Court for the Eastern District of Texas, ruled CMS violated the Administrative Procedures Act of 1946 by improperly reviewing UnitedHealth Group’s health plan call center ratings. The judge was rather biting in his assessment. He said that CMS creates the guidelines, identifies the phases, and specifies the criteria for the call center metrics. He concluded that the responsibility for any unreasonable or absurd outcomes therefore lies with the agency not plaintiffs. Other lawsuits have been filed by Humana, Centene and Elevance Health. This could likely lead to recalculations for many plans, although it will not rise to the mass recalculation we saw in 2024. CMS says it is looking to deprioritize

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November 21, 2024

Commonwealth Study Covers The Underinsured A very important study from The Commonwealth Fund found that close to a quarter of people who have health coverage are underinsured. This is consistent with other findings that put the number of uninsured and underinsured at about 85 million Americans. In essence, the underinsured are Americans that have coverage but, in many ways, have a hard time accessing the benefits due to high out-of-pocket costs. In my book, The Healthcare Labyrinth (available at this site), I discuss that affordable universal access is needed to address both the uninsured and underinsured crisis. The Commonwealth Fund polled a national sample of adults aged 18 to 64 and found that 23% are underinsured. Most (about 66%) are in employer-sponsored health plans. About 14% were in individual or Exchange plans and 11% were in Medicaid. About 57% who were underinsured said they skipped care because of the cost. About

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November 20, 2024

More on Mehmet Oz’s Healthcare Positions President-elect Donald Trump’s nominee for the Centers for Medicare and Medicaid Services administrator, Mehmet Oz, has raised concerns with high insulin prices and the role of pharmacy benefit managers (PBMs). At the same time, he has not taken a position on Medicare drug price negotiations. He favors permanent telehealth expansions and has invested in numerous digital health companies over the years. This means he may support artificial intelligence, remote monitoring, wearables, and digital therapeutics. Oz has long been a supporter of Medicare Advantage (MA) and even pushed for the concept of Medicare Advantage for All, which would have eliminated employer coverage and put everyone in private plans outside of Medicaid. Additional articles: https://insidehealthpolicy.com/daily-news/oz-raised-concerns-pbms-insulin-costs-his-ira-views-unclear and https://insidehealthpolicy.com/daily-news/oz-would-bring-support-permanent-telehealth-ai-wearables-dtx-cms and https://thehill.com/policy/healthcare/5000821-trump-oz-cms-medicare-medicaid/ (Some articles may require a subscription.) #oz #cms #trump #medicareadvantage https://www.beckerspayer.com/payer/dr-oz-on-medicare-advantage-5-things-to-know.html PBMs Sue Over FTC Litigation Process The country’s largest pharmacy benefit managers (PBMs) and group purchasing

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November 19, 2024

The Land of Oz: Trump Nominates Mehmet Oz As CMS Administrator President-elect Donald Trump has nominated television personality and surgeon Dr. Mehmet Oz to oversee the Centers for Medicare and Medicaid Services (CMS). Oz had a successful TV show for thirteen years, although has become controversial over supplements, alternative treatments, and COVID treatment. He lost to John Fetterman in a 2024 Senate race. He is a cardiothoracic surgeon and went to Harvard and Penn. He holds patents on a variety of devices related to heart surgery. Additional articles: https://www.modernhealthcare.com/politics-policy/donald-trump-mehmet-oz-cms-administrator and https://www.healthcaredive.com/news/trump-dr-oz-nominate-medicare-medicaid-cms/733416/ and https://insidehealthpolicy.com/daily-news/oz-s-embrace-alternative-medicine-could-influence-cms-policy and https://www.beckershospitalreview.com/hospital-management-administration/president-elect-trump-taps-dr-oz-for-cms-administrator-10-things-to-know.html and https://thehill.com/policy/healthcare/4998738-trump-oz-cms-nomination/ (Some articles may require a subscription.) #cms #trump #healthcare #healthcarereform https://www.fiercehealthcare.com/payers/tv-personality-and-surgeon-dr-oz-nominated-run-medicare-medicaid AMA Study Says Health Insurance Is Highly Concentrated A new study by the American Medical Association (AMA) finds that many regions are “stubbornly highly concentrated” when it comes to commercial health coverage. The AMA study found that 95% of metropolitan statistical area

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November 18, 2024

Retiree Coverage Dropping Dramatically; Employers Rely More On Medicare Advantage The Kaiser Family Foundation (KFF) finds that the number of employers providing retiree coverage is dropping dramatically. Among large employers that offer health benefits to active workers, the share offering retiree coverage has dropped from 66% in 1988 to 24% in 2024. The trend will create huge new affordability issues for the nation as aging continues. Still, that covers 14.5 million Medicare beneficiaries with important secondary coverage to fill in the big holes in the traditional Medicare program. In order to continue coverage and limit costs, employers more and more are turning to wrapping the retiree benefit around Medicare Advantage (MA), known as EGWPs. About 56% of large employers offering retiree health benefits in 2024 offer coverage to at least some retirees through an MA plan, more than double the share in 2017 (26%). About 53% require enrollment in MA.

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November 15, 2024

Payers Expect Continuation of Enhanced Exchange Subsidies Health plan executives say they expect continuation of enhanced premium subsidies in the Exchange in some form past 2025. Oscar Health CEO Mark Bertolini says both parties have an incentive to extend the subsidies. Executives think there will be a bipartisan solution to extend the subsidies. Expiration of the subsidies could lead to surging premiums and destabilization of access and participation by insurers. At the same time, the price tag is big, especially as the GOP plans for its extension of the Trump tax credits. I expressed in a recent blog that there could be an extension of the enhanced subsidies via a year-end stop-gap bill or during a 2025 master bill.  But I am not as optimistic as the plan executives. #aca #obamacare #exchanges https://www.beckerspayer.com/policy-updates/payer-executives-expect-limited-change-in-aca-subsidies.html KFF Looks At 2025 Medicare Advantage Offerings Just after Medicare Advantage (MA) benefits were released, the Kaiser Family Foundation

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November 14, 2024

RFK Jr. Nominated By Trump To Be HHS Secretary In the biggest news of the day, President-elect Donald Trump nominated Democratic supporter Robert F. Kennedy Jr. to be Health and Human Services (HHS) Secretary. Kennedy is known to be a vaccine skeptic and someone who will focus on food safety, fluoride, and chronic disease. He is also known to be extremely critical of a number of the regulatory agencies under HHS, especially the Food and Drug Administration (FDA), and the food and drug industries. Many are already characterizing the nomination as one of the toughest battles along with Attorney General nominee Matt Gaetz. Additional articles: https://www.modernhealthcare.com/politics-policy/rfk-jr-robert-f-kennedy-hhs-donald-trump-vaccines-covid-19-pandemic and https://www.healthcaredive.com/news/trump-nominates-rfk-jr-to-lead-hhs/733009/ and https://www.medpagetoday.com/washington-watch/washington-watch/112913 and https://www.beckershospitalreview.com/hospital-management-administration/trump-picks-rfk-jr-as-hhs-secretary-7-things-to-know.html and https://thehill.com/policy/healthcare/4991324-trump-nominates-kennedy-health-department/ and https://thehill.com/policy/healthcare/4991964-rfk-jr-vows-to-be-honest-public-servant-as-hhs-chief/ and https://insidehealthpolicy.com/daily-news/rfk-jr-trump-s-choice-lead-hhs-sets-stage-health-information-war and https://kffhealthnews.org/news/article/trump-rfk-maha-federal-health-agencies-takeover/ and https://www.modernhealthcare.com/politics-policy/cdc-director-mandy-cohen-rfk-jr-robert-f-kennedy-vaccines-donald-trump (Some articles require a subscription.) #hhs #rfkjr #trump #healthcare https://www.fiercehealthcare.com/regulatory/rfk-jr-selected-lead-department-health-and-human-services CMS Says It Will Deprioritize Star Call Center Measures A Centers for Medicare and Medicaid Services (CMS) executive

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November 13, 2024

End-Of-Year Stop Gap Funding In Flux With the House staying Republican, some are saying the stop gap measure to fund government by the end of the calendar year is now in flux. Some Republicans want to punt any substantive legislative action to the new Congress when the GOP is fully in control. Others want to pass substantive legislation, including several healthcare initiatives. They could include pharmacy benefit manager reform, hospital transparency, and site-neutral payments. One of the top issues that many aim to pass in the lame-duck session is instituting site-neutral payment rules for outpatient care. This is heavily opposed by the hospital lobby, but it is gaining bipartisan momentum. It is unknown how expansive any proposal would be (some or all outpatient services) and whether it would apply just to Medicare or include commercial. The Congressional Budget Office (CBO) projects that the most robust site-neutral legislation would save more

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