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In its second year (starting January 1, 2018), the Centers for Medicare and Medicaid Services (CMS) will make changes to the Medicare Advantage Value-Based Insurance Design (MA-VBID) model: open the model test to new applicants; conduct the model test in three new states (Alabama, Michigan, Texas); add rheumatoid arthritis and dementia to the clinical categories for which participants may offer benefits; make adjustments to existing clinical categories; and change the minimum enrollment size for some MA and MA-PD plan participants.

The first year of the MA-VBID model is set to begin January 1, 2017 and will run for five years.  In its first year, CMS will test the model in seven states: Arizona, Indiana, Iowa, Massachusetts, Oregon, Pennsylvania, and Tennessee.

Next month, CMS will announce the MA plans participating in the model test’s first year.  CMS plans to release a Request for Applications for the second year of the model test this fall.

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