NATIONAL — Nearly one million Americans enrolled in Medicare Advantage plans through UnitedHealthcare and Humana will need to make decisions about their health insurance after the two companies announced plans to discontinue coverage options in certain markets beginning in 2027.
The changes come during Medicare’s annual open enrollment period, which began October 15 and continues through December 7, 2026. The cancellations could force affected seniors to change insurance providers, find new doctors or reconsider how much they can afford to spend on healthcare.
According to reporting from Healthcare Brew, UnitedHealthcare is discontinuing plans affecting approximately 390,000 members. Humana, the nation’s second-largest Medicare Advantage insurer, previously announced that roughly 600,000 of its members would be affected by similar changes. Together, the reductions involve approximately 990,000 people nationwide.
The companies are not eliminating Medicare Advantage altogether. Instead, they are withdrawing certain plans from specific geographic areas or discontinuing coverage options that company officials say have become less financially sustainable.
Rising Healthcare Costs Drive Changes
The reductions come as private insurers face increasing medical expenses and higher healthcare utilization among older Americans. Insurers have reported that more members are seeking medical services, driving up the cost of providing coverage.
Humana executives acknowledged during a July earnings call that the company is targeting plans with lower financial returns. Rather than reducing benefits equally across all its plans, Humana is concentrating its cuts on less profitable offerings while attempting to retain members through other coverage options.
UnitedHealthcare is also shifting its strategy, placing greater emphasis on Health Maintenance Organization (HMO) plans and specialized coverage for people with certain chronic conditions. Many of the plans being discontinued are Preferred Provider Organization (PPO) plans, which generally allow patients greater flexibility in selecting healthcare providers.
The distinction could be significant for seniors accustomed to seeing specialists or visiting doctors outside a restricted provider network. HMO plans typically require members to use a designated network of physicians and hospitals, with exceptions for certain circumstances, including emergency care.
Seniors Could Face Higher Costs and Fewer Benefits
Even Medicare Advantage members whose plans remain available may notice differences in their benefits for 2027.
Healthcare industry analysts report that insurers are reducing certain supplemental benefits, particularly dental coverage, while increasing some copayments and other out-of-pocket expenses. Prescription drug costs and provider networks may also change depending on the plan.
Some insurers are also reducing the availability of plans with no additional monthly premium. While lower-premium options remain available in many areas, consumers may discover that benefits included in previous years now require additional payments or have tighter coverage limits.
The Centers for Medicare & Medicaid Services (CMS), however, says overall Medicare Advantage options remain widely available. In its 2027 enrollment outlook, the agency projected that more than 99% of Medicare beneficiaries would have access to at least one Medicare Advantage plan, with 97% having at least 10 options. Those national figures do not guarantee that a particular doctor, hospital or benefit will remain available in an individual’s community.
What Happens if Your Medicare Advantage Plan Is Canceled?
Losing a Medicare Advantage plan does not mean losing Medicare eligibility. Beneficiaries whose plans are discontinued can generally enroll in another available Medicare Advantage plan or return to Original Medicare.
According to health policy research organization KFF, individuals whose Medicare Advantage plans are ending and who do not select another plan will generally be returned to Original Medicare. However, prescription drug coverage may not automatically continue, making it important to review available Medicare Part D options.
People whose Medicare Advantage plans are being discontinued may also qualify for a Special Enrollment Period extending through February 28, 2027. Certain individuals returning to Original Medicare may have additional rights to purchase Medicare supplement insurance, commonly called Medigap.
Beneficiaries should carefully review any notices received from their insurance company and confirm whether their existing plan will be available in 2027. Those comparing alternatives should check prescription coverage, monthly premiums, annual out-of-pocket limits and whether their preferred physicians and hospitals participate.
Free Medicare Assistance Available in Missouri and Arkansas
For residents of Southwest Missouri and Northern Arkansas, free Medicare counseling is available through state-sponsored assistance programs.
In Missouri, the Missouri State Health Insurance Assistance Program (Missouri SHIP) provides free, unbiased Medicare counseling and enrollment assistance. Residents can call 800-390-3330 or visit missouriship.org.
Arkansas residents can contact the Arkansas Senior Health Insurance Information Program (SHIIP) at 800-224-6330 or visit the Arkansas Insurance Department’s SHIIP website. The program helps beneficiaries compare Medicare Advantage plans, prescription drug coverage and supplemental insurance options.
Consumers can also compare available plans by visiting Medicare.gov or calling 1-800-MEDICARE (1-800-633-4227).
With the December 7 annual enrollment deadline approaching, Medicare recipients are encouraged to review their 2027 coverage information rather than assume their current benefits and provider networks will remain unchanged.
