The Obama administration is rolling back a controversial proposed cut for Medicare Advantage plans.
Insurance companies and lawmakers had pressured the administration about keeping payments level for these private Medicare plans.
The Centers for Medicare and Medicaid Services said Monday the average reimbursement for the plans in 2015 would increase by 0.4 percent.
That's a reversal of the proposed average cut of nearly two percent.
Private insurers manage Medicare benefits for about 15 million seniors.
The Affordable Care Act and other laws mandate that CMS cut Medicare Advantage spending to match spending for government administered Medicare.