Medicare Advantage satisfaction high, but opportunities remain
Medicare Advantage members continue to be highly satisfied overall, but believe the plans still have significant room for improvement, according to the J.D. Power 2018 Medicare Advantage Study.
J.D. Power polled 3,442 members of Medicare Advantage plans across the U.S. and found that overall customer satisfaction with the plans is 794 on a 1,000-point scale. The overall score is based on six factors: coverage and benefits (26 percent); customer service (19 percent); claims processing (14 percent); cost (14 percent); provider choice (15 percent); and information and communication (13 percent).
The plans’ overall score for 2018 is down a nominal 5 points from 2017, even as enrollment levels in these plans rose 7.6 percent from last year. While that kind of surge can put a strain on member satisfaction, the plans have managed to maintain comparatively high overall satisfaction scores, says Valerie Monet, senior director of the insurance practice at J.D. Power.
“Some notable opportunities remain that, if addressed successfully, could have a significant effect on satisfaction,” Monet says. “Among those, efforts to help beneficiaries better manage and reduce out-of-pocket spending associated with their care and coordinating care between providers are some of the most powerful drivers of satisfaction, yet few plans fully deliver on that capability.”
Just 54 percent of members say their plan actively works to keep out-of-pocket costs low. Health plans looking to build stronger relationships with members should find ways to increase their engagement in cost-management activities that build trust with the plan and drive higher satisfaction levels, according to J.D. Power.
It’s also important for health plans to provide care coordination services. Indeed, among dual-eligible members who receive care coordination services, 61 percent say they “strongly agree” that their health plan is a trusted partner; 72 percent say they “definitely will” recommend their health plan; and 77 percent say they “definitely will” renew with their health plan.
One major bone of contention: Better information is needed during plan selection, the survey respondents say. Member satisfaction with the information and communication from their Medicare Advantage plan has declined significantly (-16 points) from last year, and is now the lowest-scoring factor in the overall health plan experience.
Aside from opportunities with member onboarding, fewer members recall receiving even one communication from their health plan in the past year. The combination of ineffective enrollment materials, incorrect provider directories, and lack of communication throughout the year can negatively influence members’ understanding of what a plan will cover, what resources are available, charges associated with uncovered services, and treatments and visiting out-of-network providers.
Kaiser Permanente ranks highest in Medicare Advantage member satisfaction for a fourth consecutive year, with a score of 841. Kaiser outperforms all other plans across four of the six factors that comprise the overall satisfaction index. Highmark ranks second with a score of 807 and Cigna HealthSpring ranks third with a score of 798.