Medicare Advantage

An unpublished government study from 2009 sounded alarm bells about the risk formula used to pay privately run Medicare insurance plans. Since then billions of dollars in waste have been documented.

Privately run Medicare Advantage plans offer seniors an alternative to standard Medicare. The plans are paid monthly fees based on complex risk formulas that are drawing federal scrutiny.

An indictment in Florida is likely to draw heightened scrutiny to potential billing fraud in privately run Medicare plans. It also raises questions about the effectiveness of government oversight.