Press ReleasesBLOG POST: MA plans capture greater market share, position themselves to engage and keep new members

According to a new study, Medicare Advantage plans added 2.3 million beneficiaries for this coverage year, the program’s greatest-ever increase, and MA plans now compose nearly half of all Medicare enrollment. The Chartis Group’s study found that there are now 28 million MA participants, or 45% of total Medicare beneficiaries.¹ A majority of all Medicare enrollees are expected to be in a Medicare Advantage plan by 2025.¹

The MA market’s share of the full Medicare market for the 2022 coverage year rose 3 percentage points, compared with the previous year, at 42%, according to Chartis.¹ MA enrollment “has been robust” while contraction of the original Medicare market has sped up, study authors wrote.¹ Chartis attributed the Medicare trend to COVID-19 mortalities among the 65-and-older population, but added that the shift was “stark.”

Also among the findings:

• MA enrollment grew in every state during the 2022 enrollment period
• The number of states that have at least 50% of their eligible enrollees in an MA plan rose to 11, from three last year
• The MA market for special-needs plans surged 20% last year and now accounts for 16.2% of the entire MA market.¹

More baby boomers are becoming eligible for MA plans, and to help meet the need, there are more MA options on the market than ever before, according to a Kaiser Family Foundation analysis.^2,3 More than 3,800 MA plans are available this year, and average beneficiaries have access to 39 of them.³ “As Medicare Advantage enrollment continues to grow, insurers seem to be responding by offering more plans and choices to the people on Medicare,” authors of the KFF analysis wrote.³

Plans that offer potential enrollees a wide variety of options and benefits including telehealth and vision coverage, and focus on holistic care and social determinants of health, will be best positioned to capture a greater percentage of the growing MA market.^2,3

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^References

1. Herro, Nick, and Wokura, Julianna. Medicare Advantage Enrollment Continues to Surge in an Increasingly Complex and Competitive Landscape. The Chartis Group. Feb. 25, 2022. https://www.chartis.com/2022-medicare-advantage-competitive-enrollment-report
2. Minemyer, Paige. 2022 forecast: Medicare Advantage is the industry’s hottest market. Don’t expect that to change next year. Fierce Healthcare. Dec. 22, 2021. https://www.fiercehealthcare.com/payer/medicare-advantage-industry-s-hottest-market-2022-don-t-expect-to-change
3. Freed, Meredith; Damico, Anthony; and Neuman, Tricia. Medicare Advantage 2022 Spotlight: First Look. Kaiser Family Foundation. Nov. 2, 2021. https://www.kff.org/medicare/issue-brief/medicare-advantage-2022-spotlight-first-look/