Congress is hoping that a new ratings system applied to the various Medicare Advantage programs will encourage better quality throughout the Medicare system.  According to the article “New Ratings for Medicare Advantage Plans May Boost Quality in Utah, Nation” by Patty Henetz found on The Salt Lake Tribune website, strong ratings will earn rewards for health insurance companies and there will be consequences for poor ratings.

The Medicare Advantage plans will be rating using a scale of 1 to 5 stars, 5 stars being the best rating.  Hopefully this will encourage health insurance quotes for Medicare Advantage plans offered through programs such as Secure Horizons.  Jonathan Blum, from the Centers for Medicare and Medicaid Services says the primary goal of this program is to promote incentives for plans to improve their policies for the retired community.  This initiative is part of the Patient Protection and Affordable Care Act from health care reform in 2010.

Health insurance companies can earn rebates and bonuses for excellent ratings and also will have to pay consequences for poor ratings.  Poor ratings is being defined as having less than 3 stars for three or more years in a row.  The consequence will be a flag icon on the government’s Medicare website, letting consumers know what insurers are rating low for Medicare Advantage plans.  This is very useful information for senior to use who are shopping around for the best Medicare supplement plan.

Medicare will be ranking the Medicare Advantage plans based on five major categories.  These categories include staying healthy, phone customer service, health plan complaints and appeals, managing chronic illnesses, and health plan responsiveness and care.  The initiative hopes to see vast improvement in these areas which will ultimately benefit the Medicare eligible consumer.