Are Medicare Advantage Plans Going Away? (2026)

Direct Answer: Is Medicare Advantage Going Away in 2026?

No, Medicare Advantage is not going away in 2026. Enrollment still tops 34 million people, 54% of everyone on Medicare, and most insurers are still offering plans. What is changing is where: UnitedHealthcare exited roughly 225 counties and Humana exited roughly 198 counties for 2026, and 2.6 million enrollees, 13% of individual Medicare Advantage members, had a plan terminated, up from 6% in 2024.

What's Actually Happening to Medicare Advantage in 2026

Medicare Advantage is not disappearing as a program, but 2026 is the roughest year for plan continuity in its recent history. UnitedHealthcare and Humana, the two largest Medicare Advantage insurers, each now cover roughly 80% of U.S. counties in 2026, down from close to 90% in 2025, after UnitedHealthcare exited about 225 counties and Humana exited about 198. Aetna, owned by CVS Health, closed nearly 90 Medicare Advantage plans across 34 states and now covers 100 fewer counties for 2026.

Insurers point to two forces squeezing their margins for 2026. CMS finished phasing in the updated CMS-HCC Version 28 risk adjustment model at full weight for payment year 2026, which compresses risk scores and lowers reimbursement compared with the older V24 model. Medical costs also rose faster in many counties than the payments CMS set there. Rather than absorb the loss, insurers narrowed their county footprint to markets where they could still turn a profit, which is why exits are concentrated in smaller, rural counties.

Where Medicare Advantage Options Are Shrinking Most

The 2026 disruption is not spread evenly across the country. Several states had more than 40% of their Medicare Advantage enrollees affected by a 2026 plan exit, and rural counties were hit at roughly twice the rate of urban ones. Vermont was hardest hit of all: 92% of its Medicare Advantage enrollees had their plan exit the market, and 68% of those enrollees have no Medicare Advantage plan left to choose from for 2026. Nationally, only about 28,500 people, roughly 1.1% of everyone affected by a 2026 termination, live in a county with zero Medicare Advantage options, concentrated mostly in rural parts of California, Colorado, Minnesota, Montana, Nebraska, Oregon, South Dakota, and Vermont.

Why Insurers Are Pulling Back: Star Ratings and Bonus Payments

Medicare Advantage plans earn extra federal payments through the Quality Bonus Program based on their CMS Star Ratings, and CMS will spend more than $13 billion on those bonuses in 2026. It got harder to earn a high rating: CMS raised its cut-points for 2026, and substantially fewer contracts reached at least 4 stars, 209 contracts compared with 261 the year before. The nationwide average Star Rating for 2026 was 3.66, barely above 3.65 in 2025. Plans below 4 stars lose bonus revenue, one more reason insurers trimmed benefits or exited counties rather than keep every plan running at a loss.

What's Shrinking: Dental, Vision, and Other Extra Benefits

The extra benefits that drew people to Medicare Advantage in the first place, dental, vision, hearing, over-the-counter allowances, and fitness memberships, are the easiest place for insurers to cut costs without exiting a county entirely. Several large national plans reduced dental coverage limits, trimmed vision and hearing allowances, and removed or shrank OTC stipends and fitness benefits for 2026. Some plans also cut meal delivery and non-emergency transportation benefits that had been common since 2020. None of this is illegal or unusual; supplemental benefits are optional add-ons that plans can adjust every year, which is why comparing your Annual Notice of Change every fall matters even if your plan did not exit your county.

Cost Without Medicare Advantage: What Original Medicare and Medigap Cost in 2026

If you drop Medicare Advantage entirely, Original Medicare Part A and Part B replace it, but you pick up costs the Medicare Advantage out-of-pocket maximum used to absorb. The standard 2026 Part B premium is $202.90 a month, the 2026 Part B deductible is $283, and the 2026 Part A inpatient hospital deductible is $1,736 per benefit period, with no annual out-of-pocket cap under Original Medicare alone. Most people close that gap with a Medigap policy, which averaged more than $200 a month in recent years, plus a standalone Part D drug plan capped at $2,100 in out-of-pocket costs for 2026. For many people who lost a plan, a new Medicare Advantage plan still costs less month to month than adding Medigap and Part D separately.

Your Alternatives if Your Medicare Advantage Plan Is Discontinued

Losing your specific plan does not mean losing coverage. You have four realistic paths for 2026, and nearly everyone affected has at least one Medicare Advantage option remaining:

• Pick a new Medicare Advantage plan: 99% of affected enrollees have at least one alternative for 2026, averaging 25 plans to compare, and 83% still have access to a $0 premium option.
• Switch to Original Medicare Part A and Part B and add a standalone Part D drug plan.
• Buy a Medigap policy using your guaranteed-issue right, available for 63 days after your Medicare Advantage coverage ends, with no medical underwriting for preexisting conditions.
• Use your Special Enrollment Period, which runs for two full months after your plan's termination notice or through December 31, 2025, whichever is later, to make the switch without penalty.

How to Check If Your Plan Is Affected for 2026

You do not have to guess whether your plan survived into 2026. Follow these steps to confirm your status and act before your options narrow further:

• Step 1: Look for your plan's Annual Notice of Change (ANOC), mailed by September 30, 2025, which flags any 2026 benefit, premium, or network changes.
• Step 2: If your plan is not renewing, you instead receive a non-renewal or termination notice with your Special Enrollment Period dates.
• Step 3: Compare 2026 options at medicare.gov/plan-compare or call 1-800-MEDICARE (1-800-633-4227), TTY 1-877-486-2048.
• Step 4: Enroll by December 7, 2026 during the Annual Enrollment Period for 2027 coverage, or use the Medicare Advantage Open Enrollment Period, January 1 through March 31, 2026, for one plan switch.

Is Medicare Advantage being phased out or eliminated?

No. Medicare Advantage is not being phased out; more than 34 million people, 54% of Medicare beneficiaries, remain enrolled in 2026. UnitedHealthcare, Humana, and Aetna all shrank their county footprint for 2026 because of lower federal reimbursement and rising medical costs, but the program itself continues under federal law with no expiration date.

Why did my Medicare Advantage plan get canceled for 2026?

Insurers terminate individual plans, not the whole program, usually because a specific plan became unprofitable in your county. About 2.6 million people, 13% of Medicare Advantage enrollees, had a plan terminated at the end of 2025. You should have received a non-renewal notice by early October 2025 and gained a Special Enrollment Period to pick a new plan, switch to Original Medicare, or apply for guaranteed-issue Medigap.

What happens if there are no Medicare Advantage plans in my county for 2026?

About 28,500 people nationwide, roughly 1.1% of those affected by a 2026 termination, live in a county with zero Medicare Advantage plans, concentrated in rural parts of California, Colorado, Minnesota, Montana, Nebraska, Oregon, South Dakota, and Vermont. In that case, you default to Original Medicare Part A and Part B and can add a standalone Part D drug plan plus a Medigap policy.

Can I get a Medigap policy if my Medicare Advantage plan is discontinued?

Yes. When your Medicare Advantage plan leaves the market involuntarily, federal law gives you a guaranteed-issue right to buy a Medigap policy in your state without medical underwriting, meaning insurers cannot deny you or charge more for preexisting conditions. You typically have 63 days from the date your MA coverage ends to use this right.

Are Medicare Advantage benefits getting worse in 2026?

In some cases, yes. To offset lower federal payments from the CMS-HCC V28 risk model reaching full weight in 2026 and tougher Star Ratings cut-points, many insurers trimmed dental, vision, and hearing allowances and reduced or removed OTC and fitness benefits. Still, 67% of Medicare Advantage prescription drug plans charge no premium beyond the standard $202.90 Part B premium in 2026.

How do I check if my Medicare Advantage plan is changing for 2026?

Read the Annual Notice of Change (ANOC) letter your plan mailed by September 30, 2025, which lists any benefit, premium, or network changes for 2026. You can also compare your options anytime at medicare.gov/plan-compare or by calling 1-800-MEDICARE, and you get one switch during the Medicare Advantage Open Enrollment Period, January 1 through March 31, 2026.