Medicare Advantage plans cut for 1 million seniors, insurers say

Two of the largest private health insurers in the U.S. are canceling some Medicare Advantage plans for seniors, CBS News has learned. Humana and UnitedHealthcare each said they are discontinuing the plans beginning next year, ending healthcare coverage for a total of about 1 million people who are 65 or older. Healthcare Brew first reported the insurers' moves. Humana's decision to exit the plan will affect roughly 600,000 enrollees, according to a company spokesperson. "We regularly evaluate our Medicare offerings to ensure we can continue providing affordable, coordinated care and access to high-quality care. As previously disclosed, we anticipate plan exits for 2027 will impact approximately 600,000 members," Humana said in a statement to CBS News.

The company noted that most of its affected members will be offered an alternative plan. UnitedHealthcare also confirmed that it is closing a Medicare Advantage plan for roughly 390,000 of its members, who will have access to another UnitedHealthcare Medicare Advantage plan. The insurer said it is facing higher costs and increased plan usage, pressures that are affecting the whole healthcare industry. Two of the largest private insurers are discontinuing some Medicare Advantage plans amid higher costs and a spike in utilization. Two of the largest private health insurers in the U.S. are canceling some Medicare Advantage plans for seniors, CBS News has learned.