Medicare Advantage Overpayments Raise Costs for All Seniors, Congressional Committee Finds

Medicare Part B premiums are higher than they should be because the government overpays private insurance companies that run Medicare Advantage plans, according to a March report from the Congress’ Joint Economic Committee. In an estimate released on March 10, the committee said Medicare Advantage overpayments increased Part B premiums by $212 per enrollee in 2025, totaling $13.4 billion in additional spending. “Let’s be honest about the math, when Medicare Advantage is overpaid, that money doesn’t just disappear, it shows up in the Medicare Part B premiums seniors pay every month, including those paid by traditional Medicare beneficiaries who are not getting extra benefits,” Joint Economic Committee Chairman David Schweikert (R-Ariz.) said....