Medicare AdvantageReimbursementMedium impact
Reminder of CMS Imposed Sequestration Payment Reductions That Began April 1, 2023
Medical Mutual of Ohio·Reimbursement
Effective date
Apr 1, 2023
We identified it
Jun 20, 2026
Summary
This is a reminder that CMS sequestration payment reductions of 2% are currently in effect for Medicare programs, including Medicare Advantage plans, as of April 1, 2023. Medical Mutual applies the same 2% reduction to provider payments in accordance with CMS guidelines.
Action Required
No immediate action required as this is a reminder of existing policy. Billing team should ensure they are aware that all Medicare Advantage payments from Medical Mutual are subject to the 2% sequestration reduction that has been in effect since April 1, 2023. Verify that revenue projections and financial reports account for this ongoing 2% reduction.