Millions of Americans enrolled in Medicare Advantage will face changes to their plan options for 2027 as insurers adjust their coverage areas and provider networks.
Insurers Are Reducing Some Medicare Advantage Options
UnitedHealthcare, Humana and Aetna are among the major insurers changing their Medicare Advantage offerings. Some beneficiaries may need to select a different plan during the upcoming Medicare Open Enrollment period.
UnitedHealthcare, Humana and Aetna are changing their Medicare Advantage footprints for 2027.
According to the figures in the supplied report, around 390,000 UnitedHealthcare members are in plans that are being discontinued, while Humana has said its plan reductions affect about 600,000 people.
Aetna is also reducing its geographic coverage. The insurer is expected to offer Medicare Advantage plans in 41 states in 2027, compared with 43 states in 2026.
These changes do not mean that all affected beneficiaries will lose Medicare Advantage coverage. People whose plans are discontinued can review other available options during the annual enrollment period.
Medicare Advantage Enrollment Is Expected To Reach 34 Million
The Centers for Medicare & Medicaid Services estimates that around 34 million people will be enrolled in Medicare Advantage in 2027. That represents approximately 47.4% of all Medicare beneficiaries, according to CMS.
The federal agency also expects the number of available Medicare Advantage plans nationally to remain broadly stable, moving from 5,553 plans in 2026 to about 5,532 in 2027.
CMS estimates that more than 99% of Medicare beneficiaries will have access to at least one Medicare Advantage plan, while 97% will have access to at least 10 options.
Provider Networks Are Changing
Some insurers are shifting their Medicare Advantage offerings toward plans with more restricted provider networks. UnitedHealthcare, for example, is reducing the proportion of members with access to both health maintenance organization (HMO) and preferred provider organization (PPO) options.
PPO plans generally provide greater flexibility when receiving care outside the plan’s network, while HMO plans typically rely on a more limited network of participating providers.
For beneficiaries, checking whether their doctors, hospitals and other healthcare providers remain in-network can be an important part of reviewing a plan for 2027.
Average Medicare Advantage Premiums Are Falling
Despite the changes to plan availability, CMS expects average Medicare Advantage premiums to decrease in 2027. The weighted average monthly premium is projected to fall from $14.37 in 2026 to $12 in 2027, representing a 16.5% decline.
CMS also expects supplemental benefits such as dental, hearing and vision coverage to remain broadly stable. The agency says around eight in 10 Medicare Advantage beneficiaries will be able to remain in their current plan with the same or a lower premium in 2027.
Why Are Insurers Changing Their Plans?
Insurers have pointed to rising medical and prescription drug costs, higher use of healthcare services and changes in government payments as factors affecting Medicare Advantage economics.
The federal government has been changing Medicare Advantage reimbursement arrangements as part of efforts to control programme spending. Those pressures can lead insurers to reassess the areas they serve, the types of plans they sell and the provider networks attached to those plans.
The changes do not affect every beneficiary in the same way, and plan availability varies by county.
Medicare Open Enrollment Starts October 15
The annual Medicare Open Enrollment period runs from October 15 through December 7, 2026. During this period, beneficiaries can compare Medicare Advantage and prescription drug plans for 2027 through Medicare.gov’s Plan Finder.
CMS advises beneficiaries to review their coverage because premiums, benefits, provider networks and other costs can change from one year to the next.
People who want to keep their current Medicare coverage generally do not need to re-enroll, although they should check whether their existing plan is changing or being discontinued.
