Medicare Advantage Enrollment 2026: Growth Slows, SNPs Rise to 23% | KFF

Medicare Advantage enrollment continues its steady climb, though the pace is shifting. Recent data from the Centers for Medicare & Medicaid Services (CMS) show that, as of February 1, 2026, just over 35 million people are enrolled in Medicare Advantage plans – an increase of 1.1 million since February 2025. However, this 3% growth rate is slower than in previous years, and the increase is largely attributable to a surge in enrollment in Special Needs Plans (SNPs), designed for individuals with specific health conditions or dual eligibility for Medicare and Medicaid.

This trend comes after CMS announced last fall that Medicare Advantage insurers projected lower overall enrollment for 2026 compared to 2025. Simultaneously, insurers reduced the number of standard Medicare Advantage plans available for general enrollment, although expanding SNP offerings. KFF research indicates the average beneficiary now has a choice of 32 Medicare Advantage prescription drug (MA-PD) plans, a slight decrease from the 34 available in 2025.

The Rise of Special Needs Plans

SNPs are becoming a significant driver of growth within the Medicare Advantage landscape. More than 8 million people are now enrolled in these plans, representing a nearly 900,000 increase since February 2025 – accounting for 83% of the total Medicare Advantage enrollment growth over the past year. These plans cater to individuals with chronic conditions like diabetes, heart disease, or those who qualify for both Medicare and Medicaid. The increasing popularity of SNPs reflects a broader effort to tailor healthcare plans to the specific needs of vulnerable populations.

The growth in SNPs is notable because these plans were made a permanent part of the Medicare program in 2018, and enrollment has been steadily increasing since then. KFF notes that SNPs now comprise 23% of all Medicare Advantage enrollment, up from 21% in 2025 and 13% in 2018.

Shifting Enrollment Among Insurers

The enrollment landscape isn’t uniform across all major insurers. While Humana Inc. And Kaiser Foundation Health Plan, Inc. Experienced enrollment increases – 1.2 million and 64,000 enrollees respectively – UnitedHealth Group, Inc., the largest Medicare Advantage insurer, saw a decline of over 530,000 enrollees. CVS Health Corporation as well reported a slight decrease in enrollment. These shifts suggest a competitive market where insurers are adapting to changing beneficiary preferences and regulatory pressures.

Interestingly, smaller insurers – those with fewer than 1 million enrollees – collectively saw a substantial increase of 734,000 people. This growth was spread across SNPs, individual plans, and group plans, indicating that smaller plans are successfully attracting beneficiaries, particularly within specialized offerings.

Stable Benefits and Premiums, Despite Market Changes

Despite the shifts in enrollment and plan availability, the overall benefits and premiums for Medicare Advantage plans are expected to remain relatively stable in 2026. CMS projects the average monthly plan premium to decrease from $16.40 in 2025 to $14.00 in 2026. Most plans continue to offer supplemental benefits like vision, dental, and hearing coverage, often with no additional premium beyond the standard Part B premium.

The availability of these benefits, coupled with potentially reduced cost-sharing compared to traditional Medicare, continues to make Medicare Advantage an attractive option for many beneficiaries. The average beneficiary can choose from 39 plans, including those with and without prescription drug coverage, and the vast majority offer dental, vision, and hearing benefits, alongside reduced cost-sharing.

What to Expect in the Coming Months

The Medicare Open Enrollment period, running from October 15, 2025, to December 7, 2025, will be a crucial time for beneficiaries to review their options and choose a plan that best suits their needs. Dr. Mehmet Oz, CMS Administrator, encourages all beneficiaries to compare plans and select coverage that provides the right care at the best price.

Looking ahead, CMS will continue to monitor enrollment trends and assess the impact of policy changes on the Medicare Advantage market. The agency’s commitment to ensuring access to affordable, high-quality healthcare for Medicare beneficiaries will remain a central focus. Beneficiaries are advised to regularly check for updates from CMS and consult with healthcare professionals to make informed decisions about their coverage.