posted by AHIP
on September 25, 2020
WASHINGTON – The Centers for Medicare & Medicaid Services (CMS) announced yesterday its estimated 2021 monthly Medicare Advantage (MA) premiums. According to the agency, the average MA monthly premium in 2021 will be $21, a 11% decrease from 2020 premiums and a 34% reduction from 2017 premiums. In addition, CMS announced that the average number of plan choices per county will increase from 39 plans in 2020 to 47 plans in 2021. Overall, nearly 5,000 MA plans will be available across the country in 2021.
CMS also announced that MA enrollment is projected to reach approximately 26.9 million enrollees next year, up from 24.4 million enrollees in 2020. That means that MA will cover 42% of all Medicare beneficiaries.
“America’s seniors are increasingly choosing Medicare Advantage because it delivers better services, better access to care, and better value,” said Matt Eyles, president and CEO of America’s Health Insurance Plans (AHIP). “And polls show that people in Medicare Advantage are overwhelmingly satisfied with their plan. That’s why we’ll continue to fight for a strong and stable program—both now and in the future.”
In addition, the agency reaffirmed previous projections for monthly Medicare Part D premiums, estimating that the average base premium for 2021 will be $30.50 per month, the second-lowest monthly premium since 2013. Beginning in January, Part D enrollees for the first time will have over 1,600 Medicare Advantage and Part D prescription drug plans to choose from that will offer insulin at no more than a $35 monthly copay. Overall, Part D premiums have decreased 12% since 2017.