CVS Health CEO Karen Lynch said she is "optimistic" Aetna will improve its Medicare Advantage star ratings for 2024.
In a presentation to investors on Sept. 12, Ms. Lynch said the company has put "every effort to execute and improve our overall star performance."
"There's a few more weeks until the final CMS results will go out, that is their news to tell … however, I'm optimistic about where we will land relative to our stars performance, based on the internal indicators I have," Ms. Lynch said.
CVS Health expects up to a $1 billion decline in its earnings in 2024 because the number of members it had in four-star plans dropped significantly, the company reported in documents filed with the Securities and Exchange Commission in May.
In 2023, 21 percent of Aetna's Medicare Advantage members were enrolled in contracts rated four stars and above, compared to 87 percent in 2022. Plans must achieve a four-star rating to be eligible for bonus payments from CMS.
CVS Health will receive an estimated $407 bonus payment per enrollee from CMS in 2023, according to KFF, slightly below the average of $417 per enrollee.