2004 to 2006
Existing Medicare+Choice program stabilized through $1.6 billion in added payments to private insurers to keep them in the program until new program starts.
New managed-care program called Medicare Advantage begins; expands existing program to include PPOs. Program involves competitive bidding by region and $12 billion "stabilization fund" for private insurers to operate in otherwise unprofitable markets.
2010 to 2016
A "premium support" demonstration program will test ability of market forces to control costs and improve care, as private insurers and traditional fee-for-service Medicare compete in six yet-undetermined regions with 25% of the population in private Medicare plans.