302: CMS announced the 2027 MA final rate. What do payers and providers need to know?
CMS continues to pull on the levers it has at its disposal to rein in national healthcare spend, including rulemaking around Medicare Advantage. In April, CMS announced the final rate for MA plans for CY2027, after a controversial proposed rule generated animated pushback — and a fair bit of panic — among payers.
In this episode, host Abby Burns speaks with Alex Balmes, Vice President of Actuarial Services at Optum, to unpack what did — and didn’t — end up in the final rate announcement, and what that signals for the future of the Medicare Advantage program. Together, they explore the components of the final rate that are most important for payers and providers to pay attention to, respectively, and why.
Also in the 2027 final announcement, but not discussed in this episode: four measures are being added or updated in Star ratings calculations (Colorectal Cancer Screening; Care for Older Adults – Functional Status Assessment; Concurrent Use of Opioids and Benzodiazepines (COB); Polypharmacy: Use of Multiple Anticholinergic Medications in Older Adults (Poly-ACH)) and three are being removed (Care for Older Adults – Pain Assessment, Medication Reconciliation Post-Discharge, Medication Therapy Management (MTM) Program Completion Rate for Comprehensive Medication Review (CMR))
We’re here to help:
Read the 2027 CMS Announcement | 2027 | CMS
Episode | 286: A Medicare Advantage reset — and what comes next
Ready-to-Use Slides | Medicare Advantage market outlook
Stay informed | Healthcare policy updates
Tool | Policy Scenario Impact Calculator
Connect with an Optum Advisory expert | Optum
Learn more about Advisory Board’s 2026 summit series.
A transcript of this episode as well as more information and resources can be found on RadioAdvisory.advisory.com.
In this episode, host Abby Burns speaks with Alex Balmes, Vice President of Actuarial Services at Optum, to unpack what did — and didn’t — end up in the final rate announcement, and what that signals for the future of the Medicare Advantage program. Together, they explore the components of the final rate that are most important for payers and providers to pay attention to, respectively, and why.
Also in the 2027 final announcement, but not discussed in this episode: four measures are being added or updated in Star ratings calculations (Colorectal Cancer Screening; Care for Older Adults – Functional Status Assessment; Concurrent Use of Opioids and Benzodiazepines (COB); Polypharmacy: Use of Multiple Anticholinergic Medications in Older Adults (Poly-ACH)) and three are being removed (Care for Older Adults – Pain Assessment, Medication Reconciliation Post-Discharge, Medication Therapy Management (MTM) Program Completion Rate for Comprehensive Medication Review (CMR))
We’re here to help:
Read the 2027 CMS Announcement | 2027 | CMS
Episode | 286: A Medicare Advantage reset — and what comes next
Ready-to-Use Slides | Medicare Advantage market outlook
Stay informed | Healthcare policy updates
Tool | Policy Scenario Impact Calculator
Connect with an Optum Advisory expert | Optum
Learn more about Advisory Board’s 2026 summit series.
A transcript of this episode as well as more information and resources can be found on RadioAdvisory.advisory.com.
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