The Trump administration has been presented with a chance to revise the Biden administration's Medicare Advantage policies, particularly concerning funding. Experts contend that the Biden administration's final Medicare Advantage proposal, released in early January, underfunds the program, following rate cuts in prior years. This presents a significant opportunity for the Trump administration to address these concerns.

Former Republican New York Rep. Ann Marie Buerkle, a former nurse and chairwoman of the Consumer Product Safety Commission, emphasized the importance of Medicare Advantage for approximately 34 million Americans, primarily seniors and individuals with disabilities. She argued that the Biden administration's cuts have disrupted healthcare access for these beneficiaries and that ensuring appropriate funding in 2026 would rectify this issue.

Medicare Advantage plans, private health insurance options contracted with Medicare, differ from traditional Medicare, which is a federal program. Previous cuts under the Biden administration, including one in April 2024, reportedly added $33 per month ($396 annually) to enrollees' out-of-pocket costs, impacting seniors on fixed incomes during inflationary times.

While the Biden administration's final regulation increased the average benchmark payment by 2.2%, this increase falls short of the current inflation rate, effectively acting as another cut, according to Buerkle. This follows previous cuts of 1.12% for fiscal year 2024 and 0.16% for fiscal year 2025.

Buerkle warned that underfunding Medicare Advantage could lead to higher premiums, increased out-of-pocket expenses, and greater deductibles for the 34 million enrollees. She highlighted the program's efficiency, noting it saved the government $144 billion over the past decade due to its managed care approach and high senior satisfaction rates.

The Trump administration has until April 7 to finalize its policy for the 2026 fiscal year. Buerkle emphasized the importance of adequately funding Medicare Advantage, considering its efficiency and cost-effectiveness for taxpayers. The Centers for Medicare and Medicaid Services defended the Biden administration's proposal, claiming it balanced affordability with responsible use of taxpayer funds.

Former Louisiana Gov. Bobby Jindall cautioned against last-minute Medicare Advantage cuts by the Biden administration. He argued that these cuts, disguised as payment adjustments, ultimately harm seniors. Jindall advocated for improving Medicare Advantage but criticized the "left" for allegedly attempting to undermine the program to promote a government-controlled healthcare system.

A Trump administration official confirmed that they are reviewing Biden-era proposals with skepticism, but no final decisions have been made regarding Medicare Advantage. Trump has publicly pledged not to cut Medicare or Social Security benefits.

Buerkle suggested that the Biden administration's cuts were a covert attempt to promote "Medicare for All." She argued that the latest proposal continues this trend, aiming to dismantle Medicare Advantage to pave the way for a government-run system.