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The way to determine the quality of a Medicare Advantage health plan is simple: look at the five-star rating on the Medicare website. However, the Medicare Advantage Star Rating methodology that produces that star indicator is much more complex.
A Medicare Advantage plan is a private payer health plan which the federal government funds and regulates. Medicare Advantage plans are considered Part C of the overall Medicare program. Many Medicare Advantage plans are combined with a Medicare Part D plan— a drug plan—to form a Medicare Advantage-Part D plan.
In a Medicare Advantage plan, private payers receive payments at the contract level from the government to cover Medicare beneficiaries’ health.