Medicare Advantage Continues to Lower Premiums While Providing Comprehensive Benefits

October 5, 2021

Medicare Advantage provides seniors and people with disabilities across America with better services, better access to care, and better value than original Medicare.

In fact, according to new data from the Centers for Medicare & Medicaid Services (CMS), Medicare Advantage premiums are set to decrease an additional 10% in 2022, dropping to an average premium of just $19 per month.

40% of Medicare Advantage make less than $25,000 per year.* Many of these members might not be able to afford the out-of-pocket costs of original Medicare. Medicare Advantage makes coverage and care more accessible and affordable for the 27 million seniors and people with disabilities it serves, as the CMS announcement demonstrates.

Seniors and Americans with disabilities rely on Medicare Advantage to access high-quality, affordable health care coverage. Medicare Advantage offers additional benefits that original Medicare doesn’t cover, such as integrated vision, hearing, and dental benefits, a cap on out-of-pocket costs, wellness programs, in-home caregiver support, and innovative telehealth options. Most Medicare Advantage plans also include comprehensive prescription drug coverage – many offering the coverage at no additional cost.

During the COVID-19 crisis, Medicare Advantage plans took decisive action to protect and support their members, including eliminating patient cost-sharing for diagnostic testing, treatment, and vaccines for COVID-19, expanding telehealth services, providing home delivery of prescription drugs and groceries, and more.

With all the benefits provided by Medicare Advantage, it’s no surprise that 94% of seniors with Medicare Advantage are satisfied with their coverage. And with nearly half of all Medicare-eligible racial and ethnic minorities choosing Medicare Advantage, the program remains an essential partner in improving health equity in our communities. In fact, Medicare Advantage plans are committed to addressing social determinants of health through supplemental benefits like in-home support services, transportation for health care appointments and non-medical needs, expanded access to telehealth services, and more.

27 million seniors and people with disabilities across America have already chosen to enroll in Medicare Advantage plans to access high-quality care at a price they can afford. Congress should work to protect and strengthen this essential program.


*Based on AHIP analysis of 2018 Medicare Current Beneficiary Survey Public Use File