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Millions may need to choose new Medicare coverage as Advantage plans exit markets
At least 2 million Medicare Advantage members are expected to be affected by plans leaving some markets for 2027, with estimates reaching 5 million. The annual enrollment window runs through Dec. 7, and affected members should check whether their plan will continue and compare alternatives.
Some Medicare Advantage plans will not be available in 2027, leaving millions of members to find new coverage as insurers withdraw from markets across the country. The changes affect both rural counties and large metropolitan areas, and the number of people affected remains uncertain.
Medicare’s annual open enrollment period runs from Oct. 15 through Dec. 7. Coverage selected during that period begins Jan. 1, 2027. An analysis of insurer announcements found at least 2 million people could be affected by plan closures; other early estimates put the figure between 3.2 million and 5 million. About 35 million people are enrolled in Medicare Advantage.
The federal health policy research organization KFF found that 193 counties will have no Medicare Advantage plans available in 2027, up from about 120 counties this year. Most of the affected counties are rural. KFF also reported that plan offerings will shrink by roughly one-quarter to one-third in Dallas, Minneapolis, Seattle, Houston and Portland.
Medicare Advantage plans are run by private insurers. They often include benefits such as dental and vision coverage and may bundle prescription drug coverage, but insurers can decide which areas they serve. Researchers have documented a growing number of market exits in recent years.
People whose plans are ending should receive a notice from their insurer and can check their coverage status by signing in at Medicare.gov. If they do not choose another plan, they may be moved to a different Medicare Advantage plan or placed in traditional Medicare. A move to traditional Medicare would not automatically include a supplemental Medigap policy or a separate prescription drug plan.
People switching from a terminating Medicare Advantage plan to traditional Medicare may qualify to buy a Medigap policy without the usual medical underwriting restrictions, including some people previously denied coverage because of a pre-existing condition. Members should confirm their eligibility and compare costs and coverage before switching.
Insurers may also limit enrollment in some plans for 2027. Those plans must accept eligible applicants in the order they apply and cannot select people based on health conditions, age or demographics. Delaying a decision could mean a preferred plan fills up, while heavier demand may make it harder to get help.
Free, unbiased counseling is available through each state’s State Health Insurance Assistance Program. People can find their state program at shiphelp.org. Medicare.gov’s Plan Finder can help compare plans, but members should verify that their doctors and prescriptions are covered directly with providers or a counselor because online directories can be inaccurate. The nonprofit Medicare Rights Center also offers a helpline and online guides.
People whose plan is ending have a special enrollment period through Feb. 28, 2027. To have replacement coverage begin Jan. 1, they need to enroll by Dec. 31. Consumers should be cautious about sharing personal information with online services, which may sell contact details and lead to unwanted marketing calls or scams.