Judge overturns rule limiting broker payments in Medicare Advantage

Judge overturns rule limiting broker payments in Medicare Advantage

Reed O’Connor’s ruling is a setback for smaller MA plans — and efforts to curb predatory marketing to seniors.

Judge Overturns Rule on Medicare Advantage Broker Payments, Impacting Marketing Oversight

A federal judge, Reed O’Connor, has vacated a Biden-era rule intended to limit payouts to agents and brokers by Medicare Advantage (MA) plans, citing that the Centers for Medicare & Medicaid Services (CMS) overstepped its authority. The rule aimed to cap payments for administrative services beyond direct compensation and prevent contracts incentivizing brokers to steer seniors toward specific plans. This decision is seen as a setback for smaller…