Elevance Health will no longer be able to enroll people into its Medicare Advantage plans starting March 31, according to a new, harshly worded suspension notice from the Centers for Medicare and Medicaid Services.
CMS is imposing the punishment after Elevance failed to submit required information to federal regulators over a seven-year period, the government said. The suspension will not affect the 1.9 million people who were already enrolled in an Elevance Medicare Advantage plan heading into this year.
CMS rarely issues these kinds of sanctions — a serious measure that could financially crush Elevance if the company doesn’t fix things by the start of Medicare’s annual enrollment window in October. The government said that if Elevance takes certain steps to start addressing the issues this month, it won’t suspend enrollment. Elevance’s shares tumbled more than 8% Monday.
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