It's a complex and rapidly changing time for the Medicare Advantage (MA) market, confusing members and leading to worse satisfaction, according to a new study.
J.D. Power released its annual MA study, which found that overall consumer satisfaction with MA plans earned a score of 623 on a 1,000-point scale, down by 29 points from the previous report. A key factor in this trend was a 39-point drop in member trust related to their coverage.
Policy changes are impacting members' benefits, out-of-pocket costs, deductibles and prior authorization, which are negatively impacting their confidence, according to the study.
“With so much rumbling in the marketplace right now about increased government oversight, policy changes and profitability challenges confronting Medicare Advantage plans, it can be misleading for plans to conclude that the significant decline in member satisfaction is a byproduct of changes that are outside their control,” said Christopher Lis, managing director of global healthcare intelligence at J.D. Power, in the announcement.
Lis said that while these headwinds may seem like ones payers may struggle to respond to, the study also found that there's an opportunity here for insurers to improve the new member onboarding experience and embrace digital technologies to close that trust gap.
The highest-scoring plans in the study have robust digital offerings, according to J.D. Power, and most (85%) of the people enrolled in these plans have connected with their member portal. By comparison, 76% of people enrolled in the lower-performing plans used a member portal.
More than half (52%) of people enrolled in the higher-performing plans said the tools offered through their health plan's website were easy to use.
The study also identified that new members are frequently unsatisfied with the service provided by their plan. Just 38% of first year members said that insurer met their expectations, compared to 45% of established members.
New enrollees cited multiple challenges in the onboarding process, including an explanation of benefits, how to find in-network doctors and prior authorization requirements.
"Yet top-performing plans that invest in robust new-member onboarding, increased transparency, new digital tools, broader networks and social support services are proving that they are better equipped to maintain member trust and satisfaction—even in a volatile environment," Lis said. "These digital tools in particular can help drive increased personalization, automated and more consistent onboarding and increased transparency with real-time updates that members need."