A report released by the Commonwealth Fund finds that private fee-for-service (PFFS) Medicare Advantage plans will be paid an average of 16.6 percent more in 2008 compared to what the same enrollees would have cost in the traditional Medicare fee-for-service program. The authors of the report estimate that extra payments to PFFS plans will amount to $1,248 per beneficiary over traditional Medicare costs for each of about 2 million Medicare beneficiaries enrolled in PFFS plans, for a total of more than $2.5 billion in 2008.
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