What impact does MACRA have on Medicare Supplement Insurance Plans C and F?

The correct answer reflects that consumers who became eligible for Medicare after January 1, 2020, are unable to purchase Medicare Supplement Insurance Plans C or F due to the provisions of MACRA (the Medicare Access and CHIP Reauthorization Act). This legislation was enacted to help streamline and improve the Medicare system.

Under MACRA, starting in 2020, these specific plans are no longer available to individuals who first become eligible for Medicare. The reason behind this change is to encourage new beneficiaries to choose plans that do not cover the Part B deductible, which is a cost-sharing feature that applies to these supplement plans. By doing so, the government aims to reduce Medicare spending and promote more judicious use of healthcare services among beneficiaries.

As a result, while existing policyholders of Plans C and F can retain their coverage, new enrollees from January 1, 2020, onward will need to select from other available supplement plans that comply with updated Medicare guidelines. This significant change aims to ensure that new beneficiaries are better equipped to manage their healthcare costs.