Medicare Advantage enrollment is still growing, but not evenly. More than 35 million people carry an MA card, a 3% year-over-year increase. Special Needs Plans (SNPs) drove 85% of net MA enrollment growth, while general-enrollment individual plans grew by just 224,000 members, their slowest pace since 2007.
Who’s winning as UnitedHealthcare and Aetna retreat from Medicare Advantage?
Rising utilization, tighter risk-adjustment rules and MedPAC’s estimated $76 billion payment gap have pushed some major carriers to retreat. UnitedHealthcare exited 109 counties for 2026, displacing roughly 180,000 members. Its enrollment fell by more than 530,000 members; Aetna and Elevance also lost ground. The market is not shrinking, but familiar logos are no longer automatic defaults.
Carriers with strong dual-eligible and chronic-condition strategies are gaining. Humana added 1.3 million members, while smaller carriers collectively added 734,000. Devoted Health nearly doubled membership, and Alignment Health grew 21%.
What does carrier disruption mean for licensed insurance agents this AEP?
For licensed insurance agents, carrier exits create both urgency and opportunity. Hundreds of counties lost coverage options heading into 2026. CMS raised its CY2027 commission cap to $725 for new MA enrollments and finalized a nearly 2.5% MA payment bump worth over $13 billion industry-wide. The upside is real, but licensed insurance agents must reach displaced members before competitors do.
Rebuild your AEP playbook
A county-by-county, carrier-by-carrier plan now matters more than a one-size-fits-all AEP routine. Focus on four priorities.
- Build SNP expertise. Know D-SNP and C-SNP eligibility, care coordination and documentation rules.
- Diversify contracts. More carrier appointments create options when a preferred plan exits.
- Move early. Build outreach around known 2026 exit counties before market noise peaks.
- Follow policy signals. Rate notices and risk-model updates can show where carriers may compete next.
Pick a segment, strengthen carrier relationships and rebuild your AEP playbook for the new Medicare Advantage landscape.
Frequently asked questions
Why is Medicare Advantage still growing if major carriers are retreating? Overall enrollment is growing, but gains are concentrated in Special Needs Plans rather than traditional general-enrollment individual plans.
What are SNPs? Special Needs Plans are Medicare Advantage plans designed for beneficiaries with specific needs, including dual eligibility or certain chronic conditions.
Which carriers are gaining ground? Carriers with strong dual-eligible and chronic-condition strategies, including Humana, Devoted Health and Alignment Health, are seeing growth.
What do carrier exits mean for licensed insurance agents? Exits can create displaced beneficiaries who need help reviewing new coverage options during AEP.
How should agents adjust their AEP playbook? Licensed Insurance Agents should build SNP expertise, diversify carrier contracts, move early in affected counties and watch policy signals that may shape carrier competition.
