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Humana’s Medicare Advantage star ratings slip for 2026

Humana’s Medicare Advantage Star Ratings Slip in 2026

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  • Humana revealed that 20% of its Medicare Advantage members will be in plans rated 4 stars or above in 2026, a slight decrease from the previous year but in line with internal expectations.

  • While Humana’s overall average star rating of 3.61 remained stable, there was an improvement in members enrolled in plans rated 4.5 stars or above, increasing from 3% in 2025 to 14% in 2026.

  • Despite efforts to enhance ratings, Humana expressed dissatisfaction with the results, but its stock saw a 3% increase following the disclosure.

It’s a critical time for insurance market observers as the CMS accidentally released detailed information on MA plan offerings for 2026, prompting Humana to provide its own disclosure to investors based on the released star ratings data.

Although Humana’s average star rating remained relatively unchanged, the decline in the percentage of MA members in plans rated 4 stars or higher from the previous year is concerning.

Humana’s strategic initiatives to improve ratings include closing care gaps, increasing member outreach, and investing in technology, alongside pursuing contract diversification to optimize member enrollments.

The insurer anticipates a significant increase in the percentage of members in highly rated plans by 2027, aiming to reverse the downward trend in star ratings.

Amid industry-wide challenges in MA profitability, Humana and other major insurers are focusing on enhancing margins and quality ratings to drive financial performance and member satisfaction.

UnitedHealthcare, the largest MA carrier, also disclosed its star ratings data, highlighting the industry-wide focus on quality improvement and financial sustainability in the Medicare Advantage market.

Conclusion

Humana’s efforts to boost star ratings and enhance member satisfaction in its Medicare Advantage plans reflect the evolving landscape of healthcare quality measurement and financial sustainability in the MA market.

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