![Cherry-Picking Profitable Patients: New Research Identifies Unintended Consequences for Some Medicare Patients Cherry-Picking Profitable Patients: New Research Identifies Unintended Consequences for Some Medicare Patients](/var/ezflow_site/storage/images/iol-home/news-room/informs-releases/news-releases/cherry-picking-profitable-patients-new-research-identifies-unintended-consequences-for-some-medicare-patients/4451002-1-eng-US/Cherry-Picking-Profitable-Patients-New-Research-Identifies-Unintended-Consequences-for-Some-Medicare-Patients_newslargethumb.jpg)
Cherry-Picking Profitable Patients: New Research Identifies Unintended Consequences for Some Medicare Patients
BALTIMORE, MD, January 4, 2023 – New research in the INFORMS journal Manufacturing & Service Operations Management finds that Medicare Advantage (MA), the largest healthcare capitation program in the U.S., unintentionally incentivizes health plans to cherry-pick profitable patients from traditional Medicare (TM). “Capitation” is the annual fee paid to a healthcare practice by each participant in a health plan.