Daily Briefing

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Around the nation: CMS' 2027 MA star ratings are out


CMS recently released its Medicare Advantage (MA) Star Ratings for 2027, with plans earning at least four out of five stars qualifying for 5% bonus payments, in today's bite-sized hospital and health industry news from Maryland and Minnesota.

  • Maryland: CMS recently released its MA Star Ratings for 2027, with plans earning at least four out of five stars qualifying for 5% bonus payments. The share of MA contracts earning at least four stars for 2027 was 37%, a decline from 44.9% the year before. The number of contracts that earned five stars also decreased from 22 in 2026 to 15 in 2027. According to CMS, nonprofit insurance companies generally received higher ratings than for-profit insurers. Overall, 71% of MA enrollees are in plans that received at least four stars. Although the 2027 ratings were just released last week, they are already facing legal challenges. On Monday, Alignment Health filed a lawsuit against CMS and other federal health agencies over a $200 million payment cut in its latest MA Star Ratings. According to Alignment, it requested CMS use the same methodology that was used to revise Clover Health's 2026 ratings, but was denied. Separately, CMS confirmed that it used a more favorable method to calculate some of Clover Health's 2027 ratings. This method was not applied to other MA plans. CMS is also facing several ongoing lawsuits from Alignment Health, Elevance Health, and Scan Group over its revised 2026 MA ratings, which were released in July. (Tepper/Broderick, Modern Healthcare, 10/9; Tepper/Broderick, Modern Healthcare, 10/12; Minemyer, Fierce Healthcare, 10/9; Tepper, Modern Healthcare, 10/12 [1]; Tepper, Modern Healthcare, 10/12 [2] )
  • Maryland: FDA has approved the first heart valve designed to expand after surgery for pediatric patients. The Autus Size-Adjustable Valve is a surgically implanted pulmonary heart valve meant for pediatric patients who have congenital pulmonary valve disease. The valve can be expanded from approximately 13 millimeters to 22 millimeters, or from the size of a toddler's valve to a comparable adult-sized pulmonary valve. FDA approved the valve based on a clinical study of 62 pediatric patients at 12 U.S. sites. At a six-month follow-up, the first 60 patients had acceptable hemodynamic performance and had no more than mild leakage through the valve. In addition, all patients had successful procedures, with no deaths, strokes, or other clot-related issues. Two patients who began to outgrow their valves also had them expanded successfully without needing surgery. According to Becker's Hospital Review, the device may help reduce the need for repeated open-heart surgeries in children. (Taylor, Becker's Hospital Review, 10/2)
  • Minnesota: HealthPartners and Essentia Health have agreed to merge and create a combined nonprofit health system. The new system will operate under the HealthPartners name and is expected to be finalized Jan. 1. Andrea Walsh, HealthPartners' current president and CEO, will lead the new system while EssentiaHealth CEO David Herman will serve as president of combined clinical care group operations. The new system will include 22 hospitals, over 135 clinics, and 6,000 clinicians across Minnesota, North Dakota, and Wisconsin. "We are two organizations that share a lot of the same values and share a point of view on what’s needed for the future of the health of our communities," Walsh said. "Fundamentally, it's the values alignment and the shared vision on strategic direction that really resulted in us believing a combination made sense." (DeSilva, Modern Healthcare, 9/29)

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