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50-State Look At Medicare Advantage Plan Quality Rating Reveals Significant Variation in Beneficiary Enrollment

Contact: Lindsey Spindle, 202.207.1337, lspindle@avalerehealth.net

06.08.10

Washington, DC – According to a new analysis released by Avalere Health, the percentage of Medicare Advantage beneficiaries enrolled in higher-quality plans, as rated by the government, varies widely by state, and in several states a majority of beneficiaries are in plans that received 2.5 or fewer stars in 2010. 

Last month Avalere analyzed the CMS 2010 Part C Report Card, released in November 2009, and enrollment data released in April 2010 to see whether beneficiaries’ plan selections correspond with quality ratings assigned by the government.  Avalere replicated that analysis on a state-by-state level for all 50 states, revealing significant differences in enrollment by geography. 

60 percent of beneficiaries in Georgia and 86 percent of beneficiaries in Nevada are in plans rated ‘2’ or ‘2.5’.  88 percent of Florida beneficiaries are in plans rated ‘2’ or ‘3’. Maine has the largest percentage of beneficiaries enrolled in 5-star plans, with 30 percent of all beneficiaries in the state enrolled.  In Massachusetts, 69 percent of beneficiaries – all those whose plans have been rated – are enrolled in plans rated ‘4’ or ‘4.5’. 

In some states, a majority of beneficiaries are in plans with the same rating; in others, enrollment is more evenly distributed across ratings. 62 percent of beneficiaries in Minnesota are in plans rated ‘4’ or ‘4.5,’ while beneficiaries in Colorado are largely split among plans rated ‘3’ to ‘4.5.’

Importantly, not all beneficiaries have access to higher-quality plans.  Top-rated, or 5-star, plans are available in just three states: Maine, Texas, and Florida.  Plans may be offered only in certain counties, meaning that even if a beneficiary lives in a state where a top-rated plan is available, he or she may not be able to enroll.

 “As the government implements the new health reform provision tying Medicare Advantage plan funding to quality ratings,  it will be important to determine whether the already significant regional variation in plan quality ratings will intensify,” said Bonnie Washington, a vice president at Avalere Health. 

April 2010 Percent of Medicare Beneficiaries Enrolled in Medicare Advantage Plans by Star Rating

State

2 Stars

3 Stars

4 Stars

5 Stars

Plan not Rated

Alabama

3%

88%

0%

0%

8%

Arizona

17%

54%

22%

0%

7%

Arkansas

32%

0%

2%

0%

66%

California

11%

49%

36%

0%

4%

Colorado

4%

45%

40%

0%

11%

Connecticut

2%

68%

17%

0%

12%

Delaware

30%

0%

0%

0%

70%

Florida

19%

69%

9%

1%

3%

Georgia

60%

9%

0%

0%

31%

Hawaii

14%

60%

17%

0%

10%

Idaho

20%

15%

39%

0%

26%

Illinois

38%

43%

8%

0%

12%

Indiana

26%

37%

2%

0%

35%

Iowa

15%

33%

13%

0%

39%

Kansas

4%

65%

0%

0%

32%

Kentucky

19%

49%

10%

0%

22%

Louisiana

14%

83%

0%

0%

3%

Maine

10%

32%

0%

30%

28%

Maryland

26%

26%

33%

0%

14%

Massachusetts

0%

0%

69%

0%

30%

Michigan

9%

11%

33%

0%

48%

Minnesota

2%

14%

62%

0%

21%

Mississippi

39%

11%

0%

0%

51%

Missouri

7%

71%

7%

0%

15%

Montana

37%

16%

0%

0%

46%

Nebraska

32%

36%

0%

0%

32%

Nevada

86%

7%

0%

0%

7%

New Hampshire

34%

2%

0%

0%

65%

New Jersey

30%

68%

0%

0%

2%

New Mexico

9%

37%

36%

0%

18%

New York

8%

53%

26%

0%

12%

North Carolina

7%

21%

19%

0%

53%

North Dakota

14%

6%

18%

0%

62%

Ohio

9%

61%

21%

0%

9%

Oklahoma

20%

57%

0%

0%

24%

Oregon

4%

37%

52%

0%

7%

Pennsylvania

6%

42%

44%

0%

8%

Puerto Rico

8%

92%

0%

0%

0%

Rhode Island

0%

82%

0%

0%

17%

South Carolina

21%

0%

0%

0%

79%

South Dakota

17%

12%

0%

0%

71%

Tennessee

10%

75%

0%

0%

16%

Texas

26%

58%

5%

3%

7%

Utah

4%

86%

0%

0%

10%

Vermont

44%

0%

0%

0%

56%

Virginia

10%

12%

5%

0%

73%

Washington

18%

29%

46%

0%

7%

Washington D.C.

22%

2%

68%

0%

8%

West Virginia

10%

29%

14%

0%

46%

Wisconsin

16%

24%

41%

0%

19%

Wyoming

35%

1%

3%

0%

61%

Note: Categories include enrollment in plans with listed star rating and any increment between listed rating and next rating (e.g., “2 Stars” includes enrollment in plans with ratings of 2 or 2.5). “Not Rated” includes plans that are too new to be measured and plans for which there is insufficient data to calculate a summary score.  States with no MA offerings are omitted.  Avalere Health’s analysis included all Medicare Advantage enrollees who, as of April, 2010, were not enrolled in a Special Needs Plan (SNP) or an employer-only plan.  For each county we examined MA enrollment by plan and compared it to the 2010 Medicare star rating for that plan.  We then summarized enrollment in MA plans by star rating for each state.

If you have questions about your own plan selection or its star rating, please seek information from the plan or from the Centers for Medicare and Medicaid Services.  Avalere does not offer consumer advice on plan selection and regretfully cannot help individuals with their plan inquiries.


Avalere Health is an advisory services company whose core purpose is to create innovative solutions to complex healthcare problems. Based in Washington DC, the firm delivers research, analysis, insight, and strategy for leaders in healthcare business and policy. Avalere's experts span 125 staff drawn from the federal government (e.g., CMS, OMB, CBO, and the Congress), Fortune 500 healthcare companies, top consultancies, and nonprofits. The firm offers deep substance in areas ranging from healthcare coverage and financing to the changing role of evidence in healthcare decision-making. Its focus on strategy is supported by a rigorous, in-house analytic research group that uses public and private data to generate quantitative insight. Through events, publications, and interactive programs, Avalere also translates real-time healthcare developments into actionable information.

Learn more at www.avalerehealth.net.

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