Medicare Advantage Enrollment Growth Slows in 2025, For-Profit Plans Dominate

Medicare Advantage (MA) enrollment growth has decelerated in 2025 following years of rapid expansion, as reported by Chartis. The majority of new MA enrollees have chosen plans managed by for-profit payers, who now cover about three-quarters of all MA beneficiaries. The remaining beneficiaries are distributed among non-profit Blue plans, other non-profit plans, and provider-sponsored plans.

Quality ratings for Medicare Advantage plans have declined compared to the previous year, highlighting performance challenges within the market. Concurrently, the healthcare industry faces physician shortages and associated high costs, prompting consideration of advanced practice providers (APPs) as potential workforce and budget solutions. These dynamics are occurring amid expectations and uncertainties around AI capabilities in healthcare operations.