For Medicare Advantage plans, CMS Star Ratings are a crucial measure of quality and experience, impacting both member and plan success. Millions of dollars in incentive payments are linked to a planโs score, and many members weigh scores heavily when choosing to stay with their plans or move to new ones.
For the 2024 plan year, CMS eliminated COVID-19-induced adjustments aimed at supporting plans during the pandemic. That, along with other program changes, such as the adoption of the Tukey Outlier method that excludes both the highest and lowest performers, led to a precipitous drop in 2024 Star ratings. With both growth and competition set to intensify in the MA market, plans must adapt their strategies to accommodate the evolving policy and programmatic changes, while prioritizing the end-to-end member experience.