Regional PPOs in Medicare: What Are The Prospects?

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One of several new types of Medicare health plans that became available for the first time in 2006, regional Medicare preferred provider organizations (PPOs) promised to import the successful commercial PPO model to the Medicare market. Policymakers anticipated that regional PPOs could provide access to comprehensive coverage (including for prescription drugs) at affordable costs to all Medicare beneficiaries. This Findings Brief summarizes recent research and experience related to regional Medicare PPOs and assesses the prospects for this type of health plan in the near future.