Hospitals are tasked with making patients better, but when the hospital that provides care also owns the insurance company that pays for that care, the incentives get more complicated.
- Research Scientist of Health Policy and Economics, University of Southern California
The pilot, launched in January 2026 in 6 states, could reduce wasteful spending, but increases provider paperwork and risks patient access to necessary care.
Medicare Advantage − the private option that costs taxpayers extra and requires prior approval − is the default for some state agencies and corporations.
Rather than finding efficiencies and saving money all around, the private companies that administer the Medicare Advantage option to Medicare are profiting at seniors’ – and taxpayers’ – expense.
Signing up for a Medicare plan when you turn 65 − or making changes in subsequent years – means wading through a thicket of consequential choices that can’t always be undone.
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