The number of Medicare beneficiaries enrolled in Medicare private plans reached a record high in 2014 with nearly 16 million beneficiaries, according to the Kaiser Family Foundation.
This number reflects approximately 6.3 million more enrollees than the Congressional Budget Office had initially projected in 2010 after the Patient Protection and Affordable Care Act was implemented. The CBO's adjusted estimates project enrollment in Medicare Advantage will reach 22 million by 2020.
According to Kaiser, the rate of Medicare Advantage enrollment was expected to decrease in response to PPACA payment plan reductions, implemented to remedy concerns that Medicare was paying 14 percent more for Medicare Advantage beneficiaries than for traditional Medicare beneficiaries. They led to a decrease in the amount of plans available to enrollees. Payment reductions are being phased in between 2012 and 2017 so insurers and healthcare providers have time to adjust without negatively impacting the quality of patient care.
Despite the payment reductions, Medicare Advantage enrollment has increased by 41 percent since 2010. The following list reflects overall trends in enrollment between 2010 and 2014:
- 2010 — 11.1 million enrollees, 24 percent of Medicare beneficiaries
- 2011 — 11.9 million, 25 percent
- 2012 — 13.1 million, 27 percent
- 2013 — 14.4 million, 28 percent
- 2014 — 15.7 million, 30 percent