What Is Happening To Your Medicare Advantage Freebies?
Health insurers have been facing a lot of pressure as of late, which in turn might take a toll on freebies they previously offered to seniors with Medicare Advantage plans. The Wall Street Journal reported that as insurers might favor “margins over growth,” some perks such as free gym membership might disappear.
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As The Wall Street Journal further noted, Medicare Advantage is facing several struggles, as while the private plans have grown in popularity in recent years, “The industry is contending with pressure on both cost, as seniors who held back on procedures during the pandemic rush back, and revenue, as the Biden administration curtails payments to plans.”
In 2023, some of the aforementioned perks included fitness, telehealth services, a meal benefit, acupuncture, transportation and bathroom safety devices, according to KFF.
Wellness perks, such as the SilverSneakers plan, are also often free under many Medicare Advantage plans. The SilverSneakers plan allows seniors to attend the gym for free and join exercise groups to stay healthy, according to Medigap.
In addition, as Medigap reported, some Medicare Advantage policies offer Special Needs Plans (SNPs), which might include grocery allowances that allow beneficiaries to pay for healthy food catered to a specific chronic health condition.
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Perks May Disappear Due to Pressure, Pause in Growth
But now, the pressure many health insurers are facing might force them to cut down on these perks.
For instance, Cigna recently sold its Medicare business after calling off talks to purchase Humana, while others are pausing on their growth, according to The Wall Street Journal.
“We’re in the position of not trying to grow Medicare Advantage,” Centene chief financial officer Andrew Asher told The Wall Street Journal. “We’re trying to ultimately recover margin [in the] back half of the decade. And so we’ll just adjust the bids accordingly.”
This could translate into plans that might be a “little bit less attractive for seniors,” Asher told The Wall Street Journal.
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This article originally appeared on GOBankingRates.com: What Is Happening To Your Medicare Advantage Freebies?
