Humana Medicare Advantage Dropping 500,000 in 2026

Humana has announced that it will drop roughly 500,000 Medicare Advantage members by 2026, one of the largest pullbacks we’ve seen yet from a major national carrier.

While the company frames this as a strategic move to focus on “sustainable growth,” the impact for seniors is very real: half a million people will need to find new coverage, often with limited time to make the switch. See full article.

This isn’t happening in isolation. In the past two years, Medicare Advantage carriers across the country have been scaling back.

UnitedHealthcare is cutting plans for 600,000 members. Aetna is dropping about 90 plans, with an estimated 10% membership loss. And in Minnesota, UCare is leaving Medicare Advantage altogether, displacing 158,000 seniors.

Together, these moves paint a clear picture: the Medicare Advantage market is under financial strain, and beneficiaries are paying the price.

The Facts: What’s Happening with Humana

Humana, the second-largest Medicare Advantage insurer in the country, expects to lose up to 500,000 members by the end of 2025 as it exits plans and geographic markets that no longer show a path to profitability.

While the number is staggering, it’s actually an improvement over Humana’s earlier 2024 projection of a 550,000-member decline. The company has already managed to recapture about 40% of those members into other plan offerings that Humana says are now priced for long-term sustainability.

George Renaudin, president of Humana’s insurance segment, put it bluntly when addressing investors in July:

“We were transparent almost two years ago in discussing utilization trends we are seeing and the impact of V28, and we have made adjustments each year since then.

We’re the only plans to reduce benefits in any way in 2024, and we reduced more benefits that were more significant than just about all of our competitors in 2025.”

In other words, Humana has been tightening benefits and raising costs for two years straight in an effort to stabilize its Medicare Advantage business. Unlike some carriers that continued to expand aggressively, Humana is cutting back hard – pulling out of unprofitable counties, trimming plan benefits, and shifting members into leaner plans.

For beneficiaries, the “facts” translate into fewer plan options, more limited networks, and higher out-of-pocket exposure compared to just a few years ago.

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The Broader Shift in Medicare Advantage

Humana’s decision to shed 500,000 Medicare Advantage members is part of a larger trend reshaping the industry. In response to rising medical expenses and tightening reimbursement rates, insurers are exiting unprofitable markets, trimming supplemental benefits, and even pulling entire product lines.

UnitedHealthcare, the nation’s largest Medicare Advantage carrier, recently announced it will exit plans serving more than 600,000 members, particularly in “less managed products” like PPOs.

These are the same types of plans that often provide broader flexibility for beneficiaries – and the very ones insurers say are becoming too costly to maintain.

Humana itself originally projected a 550,000-member decline but has revised the figure to about 500,000 after successfully recapturing roughly 40% of those members into other offerings it now considers sustainable. Company leadership has emphasized that they’ve been making “adjustments each year” in response to utilization trends and regulatory changes, such as the V28 risk adjustment model.

In fact, Humana has acknowledged cutting benefits more aggressively than many of its competitors in both 2024 and 2025 in an effort to stay ahead of the curve.

Cigna, meanwhile, decided to step out of the business entirely, selling off its Medicare Advantage portfolio in 2024. That move underscores just how difficult it has become for some carriers to compete in this space.

Despite all these pullbacks, Medicare Advantage enrollment is still growing overall – but the growth rate is slowing. Where the program once expanded at a pace of about 7% per year, recent projections show that growth slowing to around 4%.

Medicare Advantage is still popular, but it’s no longer the unstoppable growth engine it once was. For beneficiaries, this means fewer choices, leaner benefits, and more uncertainty about the long-term stability of their plans.

Medicare Advantage Cuts: 2024–2026 at a Glance

Insurer / Program	Member Reductions / Changes	Notes / Commentary
Humana	500,000 members expected lost by end of 2025/into 2026	Originally projected 550,000 decline; claims 40% recapture into other offerings
UnitedHealthcare	Exiting plans serving over 600,000 members	Pullback focused on PPOs and “less managed” product lines; also dropped 500,000 in 2024 and signaling further cuts for 2026
Cigna	Exited MA business entirely in 2024	Sold its MA portfolio - an extreme example of retreat
UCare (Minnesota)	158,000 MA members losing coverage in 2026	Local nonprofit exit highlights instability even among community-rooted carriers

Why Humana’s Pullback Matters (and What It Signals)

Humana’s decision to shed 500,000 Medicare Advantage members is more than a company-specific adjustment – it’s a sign of where the market is heading. Insurers are now prioritizing profitability over membership growth, a sharp shift from just a few years ago when expansion at all costs was the norm.

For beneficiaries, that shift carries real consequences. Your current Medicare Advantage plan might be discontinued outright, or it could be altered significantly with higher out-of-pocket costs and reduced supplemental benefits.

Provider networks are also shrinking, meaning you may no longer have access to the doctors or hospitals you’ve relied on for years. In some counties, entire carriers may vanish, leaving seniors with only one or two plan options to choose from.

In other words, the challenge for 2026 isn’t just about comparing copays or premiums. It’s about whether you’ll even have a viable plan available in your area – and if so, whether it will still include your providers and medications.

What to Expect: Specific Risks for Beneficiaries

For seniors enrolled in Humana or any Medicare Advantage plan, the pullbacks happening in 2026 aren’t just abstract numbers – they bring very real risks.

In some counties, certain insurers may no longer offer Medicare Advantage plans, leaving customers with fewer choices.

Even if your carrier stays, the plan you’ve relied on could disappear, forcing you to scramble for alternatives during the Annual Enrollment Period.

Here are the most significant risks beneficiaries should be prepared for:

• No plan offered in your county. Entire plan options can vanish, leaving seniors with fewer insurers to choose from.
• Provider network changes. Your trusted doctor, specialist, or hospital might no longer be considered in-network, forcing difficult choices.
• Benefit reductions or restructuring. Coverage may become less generous – higher copays, leaner prescription drug coverage, or loss of “extra” benefits like dental or vision.
• Year-to-year volatility. Medicare Advantage plans change constantly, making it nearly impossible to “set and forget” your coverage.

Volatility is becoming the norm in Medicare Advantage. Beneficiaries need to stay alert, review their Annual Notice of Change carefully each fall, and be prepared to compare options every year – because stability is no longer guaranteed.

Mail Notifications You Must Watch For

If you’re a Humana member – or with any Medicare Advantage carrier – the most important step you can take this fall is to pay close attention to your mail.

Insurers are required to notify you about plan changes every year, but with the scale of cuts happening in 2026, these letters are more critical than ever.

The two most important notices are:

• ANOC (Annual Notice of Change): This letter means your plan will continue, but with changes. It will outline updates to premiums, copays and prescription drug coverage. Even if your plan isn’t disappearing, your costs and access could shift dramatically.
• Non-Renewal Notice: This is the letter no one wants to receive. It means your plan will not continue into the next year – for example, “coverage ends January 31, 2025.” If you receive this, you’ll need to act quickly to secure new coverage during the Annual Enrollment Period.

In prior years, many beneficiaries tossed these letters aside, assuming they contained minor updates. But in today’s volatile Medicare Advantage market, ignoring them could mean losing coverage altogether or scrambling at the last minute to find a replacement.

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What You Should Do If Your Plan Is Ending

If you receive notice that your Humana Medicare Advantage plan – or any MA plan – is being terminated, the first step is to gather the details of your current coverage.

Write down your monthly premium, copays, out-of-pocket maximum, the prescription drugs you take (including names and dosages), and your preferred doctors and hospitals. This gives you a baseline for evaluating any alternatives.

With that information in hand, you can quickly compare new Medicare Advantage plans available in your area. But here’s the bigger opportunity: if your plan is discontinued through no fault of your own, you qualify for a Guaranteed Issue Right.

This means you can enroll in a Medicare Supplement (Medigap) plan without medical underwriting. Normally, insurers can deny you or charge more based on preexisting conditions – but under GI rules, they cannot.

For many beneficiaries, this is a rare chance to move into the stability of Medigap coverage, where your benefits never change from year to year, you can see any provider nationwide that accepts Medicare, and you’re protected from the volatility of Advantage plans.

If prescription coverage is still needed, you can pair your Medigap policy with a stand-alone Part D plan.

Quick Summary: What to Do If Your Plan Is Ending

• Gather your plan details: Write down your premium, copays, out-of-pocket max, prescriptions, and preferred doctors/hospitals.
• Compare options early: Use your info to evaluate other Medicare Advantage plans in your area.
• Know your rights: If your plan is discontinued through no fault of your own, you qualify for a Guaranteed Issue Right to enroll in Medigap without underwriting.
• Consider stability: Medigap plans provide consistent benefits, nationwide provider access, and long-term peace of mind.
• Add prescription coverage: Pair Medigap with a stand-alone Part D plan if you need drug coverage.

Bottom Line

The Medicare Advantage landscape is being redefined. Humana’s decision to shed 500,000 members – alongside cuts from UnitedHealthcare, Cigna, and UCare – signals a clear shift: what worked in the past no longer guarantees stability for the future.

Plans can disappear, networks can shrink, and benefits can be reduced.

If your plan is ending or being altered, the worst thing you can do is wait. Gather your benefit details, review your prescription and provider needs, and compare your options now.

For many, this year brings a rare opportunity: if your plan is terminated through no fault of your own, you qualify for a Guaranteed Issue Right into a Medicare Supplement plan. That means access to lifelong, stable coverage without underwriting – a chance many beneficiaries thought they would never get.

At Policy Guide, our role is to make sure you don’t face these changes alone. We can help you understand what’s happening, map out a clear strategy, and get you into the coverage that protects your health, your budget, and your peace of mind for 2026 and beyond.

Here’s how we can support you:

#1. We’ll start with a needs and health analysis, examining your medications, doctors, and budget to determine what plans are available in your county.

#2. We’ll compare both alternative Medicare Advantage options and the more stable path of Medicare Supplement + Part D coverage.

#3. Finally, we’ll help you enroll in coverage that best suits your risks, financial situation, and provider preferences.

Feel free to contact us – we’d be happy to help!

FAQs

• Why is Humana dropping 500,000 Medicare Advantage members in 2026?

  Humana is exiting certain plans and counties that it no longer considers financially sustainable. Rising medical costs, tighter reimbursement rates, and regulatory changes have forced the company to cut back aggressively, reducing benefits and shifting members into leaner, more cost-controlled plans.

• How will this change affect current Humana Medicare Advantage members?

  If you are a Humana member, your plan may be discontinued or significantly altered. This could mean fewer available plan options in your county, narrower provider networks, higher out-of-pocket costs, and reduced supplemental benefits like dental or vision. Some members will be automatically transitioned to different Humana plans, but others will need to shop for new coverage during enrollment.

• Is Humana the only insurer making these kinds of cuts?

  No. The entire Medicare Advantage market is experiencing contraction. UnitedHealthcare is exiting plans affecting 600,000 members, Aetna is dropping about 90 plans, UCare is leaving the market in Minnesota, and Cigna sold its Medicare Advantage business entirely in 2024. These moves highlight industry-wide financial strain.

• What should I watch for if my plan is changing or ending?

  The most important step is to carefully review mail from your insurer this fall. You may receive an Annual Notice of Change, which explains how your plan will be altered in the coming year, or a Non-Renewal Notice, which informs you that your plan will end completely. These letters outline whether you will continue in your current plan, transition to another one, or need to find entirely new coverage.

• What are my options if my Humana plan is discontinued?

  If your plan is ending, you can compare new Medicare Advantage plans available in your area, but you also gain access to a special opportunity. Because the termination is not your fault, you qualify for a Guaranteed Issue Right to enroll in a Medicare Supplement, or Medigap, plan without medical underwriting. Medigap offers stable benefits, nationwide provider access, and protection from annual changes. If you still need prescription drug coverage, you can add a stand-alone Part D plan alongside your Medigap policy.