Congressional committee says Medicare premiums were higher due to overpayments to Medicare Advantage plans [View all]

https://www.reuters.com/business/healthcare-pharmaceuticals/committee-says-seniors-paid-higher-premiums-due-alleged-medicare-overpayments-2026-03-10/

Congressional committee says seniors paid higher premiums due to alleged Medicare overpayments
By Sneha S K
March 10, 2026 8:03 AM CDT

March 11 (Reuters) - A congressional committee's investigators released a report on Tuesday that found the average ​American senior's Medicare premiums last year were about 10% higher due to ‌alleged overpayments to private Medicare Advantage plans.

Medicare Part B premiums that most seniors pay were partly pushed up by controversial health-insurer practices such as adding diagnoses to trigger higher payments, ​according to the Joint Economic Committee, a bipartisan group of lawmakers ​that advises Congress on financial matters.

Medicare is a U.S. government program ⁠for individuals aged 65 and older or those with disabilities. The government reimburses ​private health plans, called Medicare Advantage, a set amount for each patient but ​pays more if patients are sicker.

Medicare Part B provides coverage for outpatient services including doctor visits, diagnostic tests and physician-administered drugs.
The committee found that in 2025 the federal government paid health ​insurers who offer Medicare Advantage plans up to $84 billion more than it would ​have cost to cover the same beneficiaries under its own government-run Medicare plans.

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