Humana has announced that they expect additional Medicare Advantage (MA) market exits for the 2027 plan year as the company continues to improve long-term profitability.
While some agents may see changes in their local markets, Humana remains confident in its overall MA growth.
Let’s explore more of the details and what this means for agents.
What We Know About Humana 2027 Changes
During their second-quarter earnings call, Humana shared that their 2027 MA bid strategy will include additional plan and market exits, which will affect approximately 600,000 members.
This strategy is intended to support Humana’s long-term margin goals while retaining as many members as possible.
Why Humana is Reducing Its Medicare Footprint for 2027
According to company leadership, Humana plans to prioritize high-performing plans, particularly those with value-based care. This means programs that reward health care providers with incentive payments for the quality of care they give to people with Medicare.
The company also indicated that most of the affected plans are rated 3.5 stars or lower for the 2027 plan year, though executives emphasized that decisions were made based on overall plan performance and profitability.
Humana said this approach supports its goal of obtaining a sustainable pre-tax margin of at least three percent by 2028.
How Humana Plans to Minimize Member Disruption
Although approximately 600,000 members are expected to be affected by the market exits, Humana expects to retain many of those beneficiaries by transitioning them into other Humana MA plans.
The company reported that they successfully recaptured just over 40 percent of members affected by its 2025 market exits and expect to achieve similar results following the 2027 changes.
What This Means for Insurance Agents
Humana has not yet announced which plans or counties will be impacted by the 2027 market exits. Agents should watch for additional carrier communications as bid approvals are finalized later this year.
In the meantime, agents can prepare by:
- Monitoring Humana announcements for market-specific updates
- Reviewing plan availability in their service areas before AEP
- Identifying clients who may be affected by plan exits
- Preparing to discuss alternative Medicare Advantage options if a client’s current plan is discontinued
We will continue monitoring this carrier’s announcements so we can share additional information as soon as it becomes available.
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