On October 11, 2019, CMS announced that more people than ever before will have access to four and five star Part D and Medicare Advantage plans in 2020.
The report concluded that about 81% of Medicare Advantage Prescription Drug Plan enrollees would have access to four and five star plans. Only 69% had access in 2017.
Additionally, average Medicare Advantage premiums are expected to be 23% lower than last year.
Why Are There More Four and Five-Star Plans in 2020?
For starters, there are more plans in general. Compared to 2018, there are about 1,200 more Medicare Advantage plans on the market for the 2020 plan year.
Also, CMS made improvements to the star rating system in early 2019 that make it easier to identify quality and value.
Prescription Drug Plan ratings have skyrocketed as well, with CMS predicting that 28% of 2020 “enrollees will be in stand-alone prescription drug plans with 4 stars or higher.” This was true for only three percent of enrollees in 2018!
How Are Medicare Advantage Costs Going Down in 2020?
On average, 2019 Medicare Advantage plans cost $26.87 per month. This average is expected to drop to $23 in 2020.
This decrease may be credited to CMS for taking measures to increase competition and allowing more flexibility for covered benefits.
For example, CMS removed limits that required carriers to supply meaningful differences between plans. They’ve also streamlined marketing review processes and expanded opportunities for plans to cover chronic conditions. All of these things opened up some 1,200 plans and introduced competition to local markets.
On the Part D side, plans are not only able to cover more drugs but are also able to cover prescriptions differently based on “the reasons for which they are prescribed.”
Selling 5 Star Medicare Plans
The new abundance of low-cost, highly-rated Medicare plans is making your job easier. As long as you’re contracted with the right carriers, you can show up to almost every appointment with a five-star rated plan in your pocket.
Our custom digital contracting software allows you to contract with multiple carriers at one time. Plus, our system will pull your information from NIPR once you enter your NPN, so you may not even have to sit there and complete every field.
On top of our top-notch technology, our relationships and contract levels provide top-tier commissions while our marketing team supplies lead generation and retention support. To speak with an agency advisor about selling with Senior Market Advisors for 2020, call 844-452-5020.