Our Take: A study published on JAMA found that Medicare Advantage beneficiaries used 6.3 fewer SNF days and 3.6 fewer home health days than comparable traditional Medicare patients – and did not have higher readmission rates, mortality, or worse functional outcomes. The findings suggest traditional Medicare may be funding post-acute care beyond what patients clinically need, offering MA payers a basis to justify their tighter utilization controls. ▼
For skilled nursing facilities, this study adds to the evidence base that MA authorization limits can reduce utilization without worsening outcomes – a finding payers and policymakers are likely to cite when defending shorter length-of-stay approvals.
Postacute Care Use and Outcomes Among Medicare Advantage vs Traditional Medicare Beneficiaries
The MA beneficiaries exhibited greater reductions in postacute care use compared with TM beneficiaries, including 6.3 fewer days in SNFs (95% CI, -6.8 to -5.8 days) and 3.6 fewer days in home health (95% CI, -4.3 to -2.9 days). Medicare Advantage enrollees also experienced a 1.5-percentage point lower probability of readmission (95% CI, -1.8 to -1.2 percentage points) and spent more time in the community in the first 100 days after hospital discharge (difference, 1.9 days; 95% CI, 1.7-2.2 days) than TM beneficiaries. Medicare Advantage beneficiaries also experienced a slightly lower mortality (difference, -0.3 percentage points; 95% CI, -0.6 to -0.1 percentage points) compared with TM beneficiaries, as well as modest functional gains (difference in 30-day activities of daily living improvement, 2.5 percentage points; 95% CI, 1.7-3.4 percentage points).
— JAMA Network Open, October 1, 2025
Roy, Indrakshi, et al. “Postacute Care Use and Outcomes Among Medicare Advantage vs Traditional Medicare Beneficiaries.” JAMA Network Open, 1 Oct. 2025. https://jamanetwork.com/journals/jamanetworkopen/fullarticle/2840679.
Less Postacute Care for Medicare Advantage Beneficiaries Does Not Mean Worse Health
Traditional Medicare may be paying for unnecessary care after hospitalizations, a new LDI study reports. Compared to people covered by traditional fee-for-service Medicare, Medicare Advantage beneficiaries used less postacute care, including fewer days in skilled nursing facilities, without experiencing higher mortality or readmission rates. The results suggest that postacute care under traditional Medicare could be reduced by adopting care and payment patterns similar to those used in Medicare Advantage.
— Penn Leonard Davis Institute of Health Economics, October 30, 2025
