Rate Notice Crash Course
Medicare Advantage payment and policy changes are typically made through the Annual Rate Notice and Call Letter, issued by the Centers for Medicare & Medicaid Services (CMS). For Contract Year 2021, CMS released the Advance Notice of Methodological Changes in two parts and will finalize these proposed changes in April as part of the Final Rate Notice. As of February 5th, both Part I and Part II of the 2021 Advance Notice of Methodological Changes have been released and comments are due by March 6, 2020. This year, CMS announced they will not release a Call Letter. Instead, CMS is proposing changes through the CY 2021 and 2022 Medicare Advantage and Part D Proposed Rule and comments are due by April 6th, 2020. Through this annual rate-setting process, CMS may change any or every element of Medicare Advantage payment rates, including changes to the risk adjustment model, Star Ratings system, and other factors that significantly influence payment rates. Below, BMA has provided resources to catch up on key policies of Medicare Advantage and to better understand the any proposed changes.