Medicare Official Defends Slim Hike in Reimbursements, Says Program Must Be Cost-Effective

Medicare Advantage remains a critical program but must be cost-effective, a Medicare official said the day after the stock market reacted to news that reimbursement rates would remain flat for 2027. “We continue to believe Medicare Advantage will and must play an important role in the future of Medicare,” Chris Klomp, director of Medicare and deputy administrator at the Centers for Medicare and Medicaid Services (CMS) said in a Jan. 27 tele-conference with Paragon Health Institute. “We are focused on ensuring that it continues to provide excellent value to our beneficiaries—68 million beneficiaries whom we’re charged to serve.” Beneficiaries receive the “best possible” experience when their care is both necessary and cost-effectively handled, Klomp said....