The $716 billion in Medicare cuts in the Affordable Care Act will be felt disproportionately by insurers and providers in eight heavily populated states, according to a white paper published by the University of Minnesota.

The study found that while a majority of U.S. states will see their Medicare funding reduced by less than $10 billion over a decade, eight states will see cuts of $20 million or more over the same period:

  • California;
  • Florida;
  • Illinois;
  • Michigan;
  • New York;
  • Ohio;
  • Pennsylvania; and
  • Texas.

The reductions will not affect beneficiaries. However, about one-third of the cuts would come from payments to Medicare Advantage plans, while the rest would come from lower provider reimbursement.