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CMS News

Updated: Jun 27, 2023

New payments terms announced for Medicare loans availed by providers

The Centers for Medicare & Medicaid Services (CMS) announced amended terms for the payments provided under the Accelerated and Advance Payment (AAP) Program.

CMS has provided $106 billion in payments to ease the financial burden healthcare providers faced because of the COVID-19 pandemic.

CMS expanded the AAP program on March 28, 2020. Under the program, CMS has provided loans to healthcare providers and suppliers. More than 22,000 Part A providers were paid an amount worth $ 98 billion. More than 28,000 part B suppliers were paid more than $8.5 billion.

As per the earlier terms, providers were expected to make the payments from August this year. However, as per the amended terms, providers can delay the payment until one year from the day the payment was issued. Medicare will recover 25% of Medicare payments for eleven months, followed by 50% for six months.

CMS announced that it would communicate with providers and suppliers about the repayment terms and amounts owed.

CMS assured high-quality Medicare Advantage, and Part D plans in 2021

CMS has announced that high-quality Medicare Advantage and Part D plans will be available for the beneficiaries in 2021.

The organization has announced that as per President Trump’s Executive Order on Strengthening and Improving Medicare for Our Nation’s Seniors, CMS is committed to providing a better quality of healthcare services at lower costs.

CMS further announced that premiums in 2021 are expected to reduce by 34% compared to 2017, but with better plan choices, benefits, and enrollment. More than 1,600 Medicare Advantage and Part D prescriptions plans will be available covering a range of insulins, with co-pay not exceeding more than $35 per month from January 2021.


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