Medicare Advantage Reaches Majority (55%) of Eligible Beneficiaries in 2026 as Growth Slows and Market Remains Concentrated
KFF data show continued but slower growth in Medicare Advantage despite pullbacks by major insurers. UnitedHealth Group and Humana together hold 46% of enrollees.
ForbesMedicare Advantage enrollment reached 55% of eligible beneficiaries in 2026, according to a new KFF analysis. The privatized plans, which contract with the federal government to deliver traditional Medicare benefits plus extras such as vision, dental care and wellness programs, added members even as several large insurers scaled back offerings.
The pace of enrollment growth slowed for the second consecutive year.
KFF noted that beneficiaries whose plans exited certain markets largely moved to other Medicare Advantage options rather than returning to traditional Medicare. UnitedHealth Group and Humana together accounted for 46% of all Medicare Advantage enrollees nationwide in both 2025 and 2026. UnitedHealth Group’s share fell to 26% from 29%, while Humana’s rose to 20% from 17%.
3 million enrollees year over year, whereas UnitedHealth Group enrollment declined by nearly 647,000. UnitedHealth Group’s UnitedHealthcare and CVS Health’s Aetna withdrew from selected markets for 2026 after two years of higher-than-expected costs tied to pent-up demand for services among seniors.
Insurers said they are concentrating on areas where they maintain adequate doctor and hospital networks to sustain competitive benefits.
Large parent organizations continue to dominate the market. KFF reported that Medicare Advantage enrollment remains highly concentrated, with the same pattern observed in prior years. Humana reaffirmed its 2026 full-year adjusted earnings-per-share guidance of at least $9.
UnitedHealth and CVS shares rose last week after analysts cited moderating health-care utilization trends, Investors Business Daily reported.
