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CMS Issues Final Rules on Medicare Advantage and Part D Plans for 2027

The Centers for Medicare & Medicaid Services (CMS) recently finalized the Medicare Advantage (MA) and Part D Rule for 2027. The rule makes several changes impacting dual-eligible special needs plans (D-SNPs) and supplemental benefits, including requiring MA plans to post eligibility criteria for certain supplemental benefits on their websites, which Justice in Aging supports.

However, the rule also rescinds a requirement for plans to provide information to enrollees about supplemental benefits available to them. Justice in Aging opposed this rescission and other weakened protections in comments on the proposed rule. Read more about the final rule in the CMS factsheet.

CMS also issued the 2027 Advance Payment Notice announcing the final payment rate for MA plans. In 2027, MA plans will receive a 2.48% increase, which is $13 billion more than 2026 and significantly higher than the 0.9% increase CMS originally proposed.

Guidance on H.R. 1 Changes to Medicaid Eligibility for Immigrants

Last week, CMS issued guidance on new restrictions on Medicaid eligibility for many immigrants. Beginning October 1, 2026, the 2025 Budget Reconciliation Act (H.R. 1) limits eligibility for federally-funded Medicaid to only U.S. citizens, legal permanent residents (green card holders), certain Cuban-Haitian entrants, and people residing under the Compacts of Free Association. Other lawfully present immigrants, such as asylees and refugees, will lose eligibility for federally-funded Medicaid and many will become uninsured. 

The CMS guidance explains that states must identify impacted enrollees and redetermine eligibility using existing data sources to verify their immigration status. If an enrollee’s qualifying status cannot be verified using existing data, the state must contact the enrollee, give them time to provide information, and determine eligibility based on the information provided. Individuals who are determined no longer eligible have the right to appeal.

The guidance affirms that H.R. 1 did not amend the definition of qualified alien under the Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) and other PRWORA provisions continue to apply, including the 5-year bar. CMS states that guidance on the equivalent changes to Medicare eligibility for lawfully present immigrants is forthcoming. 

See Justice in Aging’s Medicaid Defense resources and factsheet on the Medicaid and Medicare changes impacting older adult immigrants.

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