(Bloomberg) — Insurers such as UnitedHealth Group Inc. and Humana Inc. will see their pay for commercial Medicare policies increased 1.25 percent next year, reversing an earlier government proposal that called for a reduction.

The announcement compares with a base reduction of 0.9 percent proposed in February. Last year, the government set a payment reduction of 4 percent for 2015 as part of the government's plan to bring the cost of privately managed Medicare coverage in line with the traditional program for the elderly and disabled.

UnitedHealth was the top provider of Medicare Advantage plans last year, with about 3 million people on its rolls. Humana had 2.9 million enrollees, and Anthem Inc. served 1.4 million.

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