America's Benefit Specialist December 2023

“Independent Medicare agents must be licensed, undergo several hours of training, and are required by law to be certi fied before selling Medicare Advantage plans. Agent market ing practices for Medicare Advantage are strictly regulated and most states require agents to complete continuing edu cation courses to maintain their license, ensuring that agents are always informed about the ever-changing landscape of Medicare benefits. “Medicare agents often obtain clients through referrals, which is a type of lead that can only be achieved by provid ing great service to a beneficiary. By taking the time to un derstand the unique requirements and preferences of each beneficiary, agents offer tailored solutions. NABIP offers a free consumer tool to help seniors find a local agent in their area. Visit agent-finder.org, enter your ZIP Code, select Medicare practice area, and you’ll find licensed agents and brokers in your area who can help identify the right plan for you.”

REUTERS: CIGNA EXPLORES SHEDDING MEDICARE ADVANTAGE BUSINESS On November 6, Reuters reporter David Carnevali released an article claiming that Cigna Group is exploring the sale of its Medicare Advantage business. “Cigna, which got into the Medicare Advantage business with its $3.8 billion acquisition of HealthSpring in 2011, would be backing away at a time the U.S. government is tightening its purse strings in reimburs ing health insurers for their services, should it go through with the move,” wrote Carnevali. He added that Cigna is working with an investment bank to evaluate options for its Medicare Advantage business, which could fetch several billions of dollars in a potential divestment. The article cited the fact that Cigna’s Medicare Advantage business generated 4.4% of the company’s $179.4 billion in revenue from external customers in 2022.

BENEFICIARIES WILL HAVE A CHOICE OF 43 MEDICARE ADVANTAGE PLANS FOR 2024, CONSISTENT WITH 2023 BUT MORE THAN DOUBLE THE NUMBER FROM 2018

Beneficiaries Will Have a Choice of 43 Medicare Advantage Plans for 2024, Consistent with 2023 But More than Double the Number From 2018 With open enrollment underway, have a lot of options to choose from, as two new KFF analyses show. One new analysis (www.kff.org/medicare/issue-brief/medi care-advantage-2024-spotlight-first-look/) shows that the typical beneficiary has a choice of 43 Medicare Advantage plans as an alternative to traditional Medicare for 2024. That is the same number available as in 2023, but more than dou ble the number of plans offered in 2018, which shows how this market is attractive to both enrollees and insurers. In addition, the typical person covered under traditional Medicare can choose among 21 Medicare stand-alone pre scription drug plans, the second analysis (www.kff.org/medi care/issue-brief/medicare-part-d-in-2024-a-first-look-at-pre scription-drug-plan-availability-premiums-and-cost-sharing/) shows. The number of PDP options for 2024 is lower and the number of Medicare Advantage prescription drug plan (MA PD) options is higher than in any other year since Part D start ed, reflecting the broader trend toward Medicare Advantage. New for 2024 in all Medicare Part D plans, both stand-alone PDPs and MA-PDs, is the elimination of the five-percent co insurance requirement for catastrophic coverage, a provision in the Inflation Reduction Act that essentially functions as a

new out-of-pocket limit on Part D drug expenses. That can translate into savings of thousands of dollars for enrollees who take expensive drugs.

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