As
noted in a recent press release from
the Centers for Medicare and Medicaid Services (CMS), "Medicare Advantage continues to be popular, with enrollment projected to increase to an all-time high of 24.4 million beneficiaries from the current enrollment of 22.2 million, out of approximately 60 million people currently enrolled in Medicare".
- A brief review of Medicare Advantage plans
Medicare Advantage plans come in two general forms, MAs (Medicare Advantage plans that do not include prescription drug coverage) and MAPDs or Medicare Advantage plan that includes prescription drug coverage (MAPD). A Medicare Advantage plan (MA or MAPD) includes your Medicare Part A (in-patient and hospitalization coverage), Medicare Part B (out-patient and physician coverage), may include additional healthcare benefits (basic dental, optical, hearing, and/or fitness coverage) - and non health-related benefits (food delivery and general transportation). A MAPD also includes your Medicare Part D drug coverage. If you enroll in some types of Medicare Advantage (MAs) that do not include drug coverage, you may not be permitted to also join a stand-alone Medicare Part D plan (PDP) (so be sure to check before you join).
- More 2020 Medicare Advantage plans than ever before
Overall, there will be 15% more Medicare Advantage plans available in 2020. Across the country, the number of 2020 Medicare Advantage plans (combined MAs and MAPDs) will increase to 4,047**, as compared to 3,508 Medicare Advantage plans offered nationwide in 2019.
- Like 2019, Most 2020 Medicare Advantage plans provide Part D drug coverage (MAPDs)
92% of 2020 Medicare Advantage plans include prescription drug coverage (MAPDs) -- the same percentage as in 2019.
- A few more 2020 Medicare Advantage plan options that do not include drug coverage (MAs)
There is a slight increase in the number of 2020 Medicare Advantage plans without prescription coverage (MA) as compared to 2019.
- More Medicare Advantage HMOs options offered in 2020
The majority (around 68.6%) of 2020 Medicare Advantage plans will be HMOs (Health Maintenance Organizations) with a 15% increase in the number of 2020 HMO plans over 2019.
Members of a Medicare Advantage HMOs (MA-only) are not permitted to
enroll in a stand-alone Medicare Part
D plan (PDP) and will need another
source for their drug
coverage.
- More Local PPOs
There will be a 18.6% increase in 2020 Medicare Advantage Local PPOs (Preferred Provider Organizations) plans as compared to 2019.
Members of a Medicare Advantage PPOs (MA-only) are not permitted to enroll in a stand-alone Medicare Part D plan (PDP) and will need another source for their drug
coverage.
- The declining Medicare Advantage PFFS plan offering
The number of Medicare Advantage Private Fee for Service (PFFS) plans continues to decline in 2020 (a 7% decrease in PFFS plans). As a note, PFFS plans have continued to decrease since 2015 when the number of Medicare Advantage PFFS (MA and MAPD) plans decreased by 43%. In particular, 2015 Medicare Advantage PFFS plans offering prescription drug coverage (MAPDs) decreasing by 66% or losing 33 PFFS plans.
Members of a Medicare Advantage PFFS (MA-only) can enroll in any available stand-alone Medicare Part D plan (PDP) for their drug coverage.
- Only a few 2020 MSAs offered, but Medical Savings Accounts (MSAs) are now available to more beneficiaries in 2020.
In the chart below, we see that there are only six Medicare Medical Savings Accounts (MSAs) being offered in 2020. However, these MSAs will be available in 29 states (1,883 counties) across the country and available to millions of Medicare beneficiaries. In comparison, 2019 MSAs were offered in 19 states (1,262 counties) - and in 2018, MSAs were available to Medicare beneficiaries in only 111 counties across two states.
Unlike other Medicare Advantage (MA) plans, MSAs are made up of a high-deductible health plan and a medical savings account funded by an annual tax-free deposit. MSA members can use the medical savings account to pay for healthcare costs before the health plan deductible is met.
MSA members can enroll in any available stand-alone Medicare Part D plan (PDP) for their drug coverage.
Jump to 2017 - 2020 MAPD Plan chart
Jump to 2017 - 2020 MA Plan chart
Jump to Health Plan Type definitions
Change in the Number of All Medicare Advantage plans
(both MA & MAPD)
|
|
Number of Medicare Advantage plans (MA & MAPD) |
Health Plan Type |
2020 |
2019 |
Change '19 to '20 |
2018 |
2017 |
Cost |
80 |
72 |
8 |
11% |
84 |
77 |
Local HMO |
2,777 |
2,400 |
377 |
16% |
2,130 |
1,920 |
Local PPO |
1,035 |
873 |
162 |
19% |
622 |
515 |
Regional PPO |
64 |
63 |
1 |
2% |
62 |
61 |
All PPOs |
1,099 |
936 |
163 |
17% |
684 |
576 |
PFFS |
41 |
44 |
-3 |
-7% |
46 |
48 |
MSA |
6 |
6 |
0 |
0% |
3 |
4 |
MMP |
44 |
50 |
-6 |
-12% |
54 |
62 |
Total MA & MAPD plans |
4,047 |
3,508 |
539 |
15% |
3,001 |
2,687 |
**Why our numbers vary slightly from the number of Medicare Advantage plans reported by Medicare
Medicare Advantage plans can be defined by three numbers: (Contract_ID, Plan_ID, Segment_ID) and may appear on your plan documents as "H1234-001-001". In the analysis of the total number of Medicare Advantage plans, we look only to a Plan_ID level. Therefore, the number of Medicare Advantage plans that we report is slightly different than the number of Medicare Advantage plans reported by the Centers for Medicare and Medicaid Services (CMS).
As the recent 2019
CMS press release stated: "
Beneficiaries will have more [Medicare Advantage] plan choices, with about 1,200 more Medicare Advantage plans operating in 2020 than in 2018".
However, in our article, "
2020 Medicare Advantage plan (MA and MAPD) premiums remain low", we evaluate Medicare Advantage plan premiums at a Segment_ID level, thus increasing our sample. In this article, you can see that (using the Segment_ID), the increase in the number of plans from 2018 to 2020 is 1,146 - much closer to the 1,200 value stated in the 2019 CMS press release.
Reminder: Types of Medicare Advantage Plans
As you browse through the
2020 Medicare Advantage plans, you will see in our Medicare Advantage search tools that there are seven common types of Medicare Advantage plans offered.
Change in the Number of MAPD plans |
|
Number of Medicare Advantage plans with Drug Coverage |
Health Plan Type |
2020 |
Change
'19 to '20 |
2019 |
Change
'18 to '19 |
2018 |
Change
'17 to '18 |
2017 |
Cost |
16 |
-2 |
18 |
-12 |
30 |
-3 |
33 |
Local HMO |
2,632 |
364 |
2,268 |
265 |
2,003 |
218 |
1,785 |
Local PPO |
971 |
154 |
817 |
240 |
577 |
98 |
479 |
PFFS |
26 |
-3 |
29 |
-1 |
30 |
-2 |
32 |
Regional PPO |
46 |
0 |
46 |
1 |
45 |
1 |
44 |
MMP |
44 |
-6 |
50 |
-4 |
54 |
-8 |
62 |
Total MAPD Plans |
3,735 |
507 |
3,228 |
489 |
2,739 |
304 |
2,435 |
Note the increases in Local HMO and Local PPO MAPD options for 2020 - with a further decline in MMP, Cost, and PFFS Medicare Advantage plans.
As compared to the 3,735 Medicare Advantage plans that provide prescription drug coverage (MAPDs) in 2020, there are only 312 different 2020 MAs or Medicare Advantage plans that offer health coverage only (no prescription drug coverage). However, in 2020 there will be 32 additional MA plans offered.
Change in the Number of
Medicare Advantage plans without Drug Coverage (MAs)
|
|
Number of MA Plans
|
Health Plan Type |
2020 |
Change
'19 to '20 |
2019 |
Change
'18 to '19 |
2018 |
Change
'17 to '18 |
2017 |
Cost |
64 |
10 |
54 |
0 |
54 |
10 |
44 |
Local HMO |
145 |
13 |
132 |
5 |
127 |
-8 |
135 |
Local PPO |
64 |
8 |
56 |
11 |
45 |
9 |
36 |
MSA |
6 |
0 |
6 |
3 |
3 |
-1 |
4 |
PFFS |
15 |
0 |
15 |
-1 |
16 |
0 |
16 |
Regional PPO |
18 |
1 |
17 |
0 |
17 |
0 |
17 |
Total MA Plans w/o Rx Cov. |
312 |
32 |
280 |
18 |
262 |
10 |
252 |
Reviewing local Medicare plan options and comparing changes from 2019
The 2020 Medicare Advantage plan information within in each county (or Zip Code region) is available in our 2020 Medicare Advantage plan finder (
MA-Finder) that can be found at:
MA-Finder.com/2020.
You can also see how each 2019 Medicare Advantage plan is changing in 2020 using our Medicare Advantage comparison tool found at:
MA-Compare.com/2020.
Reminder: October 15th starts the annual Open Enrollment Period
The annual Medicare Open Enrollment Period (or Annual Coordinated Election Period -
AEP) for 2020 Medicare Part D plans and Medicare Advantage plans begins on October 15th and continues through December 7th, with 2020 Medicare plan coverage beginning on January 1, 2020.
In addition, members of Medicare Advantage plans are given a second annual enrollment period once the new plan years begins. The annual Medicare Advantage Open Enrollment Period (
MA OEP) begins on January 1st and continues through March 31st. During the MA-OEP, current members of 2020 Medicare Advantage plans can change
to a different 2020 Medicare Advantage plan or return to Original
Medicare and enroll in a stand-alone Medicare Part D plan (PDP), with their new 2020 Medicare plan coverage beginning on the first day of the month following their enrollment.
For more information, you can telephone Medicare at 1-800-633-4227 to speak with a Medicare representative.