At the Fierce Health Payer Summit, former HHS Secretary Alex Azar expressed optimism about Medicare Advantage (MA) while criticizing the Biden administration's impact on the program. He highlighted the successes of value-based care models and argued against a recent MedPAC report that claimed MA costs more than Medicare fee-for-service, attributing current challenges to detrimental cuts and a post-pandemic utilization spike. Azar anticipates a shift towards MA as payers adapt to changes from the Inflation Reduction Act, which he believes will accelerate MA membership growth.
A bipartisan bill introduced in the House aims to prevent a 2.8% Medicare payment cut set for January and provide a 4.7% pay increase for physicians in 2025. The American Medical Association emphasizes the urgent need for action, citing a 29% decline in Medicare reimbursement since 2001, which threatens the viability of medical practices.
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