Ben J. Mauldin | Sep 20 2026 13:19
Sep 20, 2026 · @Ben Mauldin
Humana is cutting Medicare Advantage plans for 2027, and the letters are landing now
If you have a Humana Medicare Advantage plan in South Carolina, check your mail. Humana is not renewing a large batch of its Medicare Advantage plans for 2027, and members whose plans are going away should already have a non-renewal letter or will get one any day.
This is a big deal, and it is easy to feel blindsided by it. The good news is you have real options and enough time to make a smart choice, as long as you act during this fall's enrollment window. Your current coverage runs through December 31, 2026. Whatever you pick for 2027 starts January 1.
This guide walks through exactly what is happening, how to tell if your plan is affected, and every option on the table for a South Carolina retiree, including one time-limited window that most people miss. We serve clients across the Midlands and the whole state, and we help sort through this every year at no cost to you.
How big is this, and could it hit me?
Humana has told investors it expects these exits to affect about 600,000 Medicare Advantage members nationwide. That is roughly 8 percent of the company's 7.2 million Medicare Advantage members (24/7 Wall St.). The company is pulling specific plans out of specific counties, so this is not a case of Humana leaving Medicare. It is Humana trimming the plans and markets that were not working for its bottom line.
The trend is bigger than one carrier. Being forced out of a Medicare Advantage plan used to be rare, averaging about 1 percent of members a year from 2018 through 2024. It jumped to 6.9 percent in 2025 and hit roughly 10 percent, about 2.9 million people, in 2026 (Yahoo Finance). Plenty of South Carolina retirees are getting one of these letters for the first time.
Who is most likely to be affected here at home: members on lower-premium HMO and PPO plans, plans in smaller or rural counties, and plans that Humana has decided are no longer profitable to run. The only way to know for sure whether your exact plan is on the list is to read your mail, which is the next section.
Why is Humana doing this?
None of this is personal, and it is not a sign that your care was too expensive. A few things are squeezing Medicare Advantage carriers all at once.
Medical costs have risen faster than the payments carriers get from Medicare, so a lot of plans that used to make money now lose it. Star ratings matter too. When a plan's rating slips, the bonus payments that fund extra benefits shrink, and the plan gets harder to keep afloat. On top of that, big changes to the Part D drug benefit from the Inflation Reduction Act become permanent in 2027, which shifts more drug cost onto the plans. A temporary program that had been propping up Part D premiums also expires after 2026 (Humana).
Put together, carriers are cutting the plans and counties where the math no longer works. Humana's own CFO framed it as expecting to lose about 600,000 members while recapturing a good share of them into other Humana plans (24/7 Wall St.). That last part matters. Humana would love to move you into another one of its plans. That may be the right call, or it may not. This is your chance to compare everything, not just the plan Humana points you toward.
How to tell if your plan is ending
Every fall, Humana mails two very different documents. Do not mix them up.
The Annual Notice of Change, or ANOC, goes to everyone. It lists what is changing on your plan for next year: premiums, copays, the drug list, the doctor network. Your plan is still there. It is just different, and you should read it closely.
The non-renewal letter is the one that matters here. It says your specific plan will not be offered in 2027 and your coverage ends December 31, 2026. By law, that letter has to reach affected members by October 2, 2026, because carriers must give 90 days' notice before coverage ends (Yahoo Finance). If you have not seen one by early October, that is a good sign your plan is continuing, but confirm it rather than assume.
When you open a non-renewal letter, look for three things. First, the exact date your coverage ends, which drives every deadline that follows. Second, whether Humana is offering to move you automatically into another one of its plans, sometimes called a crosswalk. Third, the plan name and number so you can compare apples to apples. Set the letter aside and do not let the automatic move happen by default until you have compared your options.
Your three options if your Humana plan is ending
When a Medicare Advantage plan drops you, you get a special enrollment period on top of the regular fall window, so you have room to choose well. You have three real paths.
- Pick another Medicare Advantage plan. This can be another Humana plan or a plan from a different carrier. Premiums are often low, and many plans still bundle dental, vision, and drug coverage. Check that your doctors and your prescriptions are covered before you sign, because networks and drug lists differ from plan to plan.
- Go back to Original Medicare and add a standalone Part D drug plan. This puts you back on the government program with the freedom to see almost any provider that takes Medicare. You would pair it with a Part D plan for drugs, and most people also want a Medigap plan to cover the gaps.
- Move to Original Medicare with a Medigap (Medicare Supplement) plan. A non-renewal can open a rare door to buy Medigap without medical underwriting. More on that in the next section, because for a lot of people it is the most valuable option and the easiest to overlook.
| Option |
What it is |
Best for |
Watch out for |
|---|---|---|---|
| Another Medicare Advantage plan |
A new bundled plan, Humana or another carrier |
Low monthly cost, extra benefits, few doctor visits |
Networks and drug lists change; confirm your doctors and drugs |
| Original Medicare + Part D |
Government Medicare plus a drug plan |
Wanting broad provider access |
Without Medigap you have no cap on Part A and B costs |
| Original Medicare + Medigap + Part D |
Government Medicare, a supplement, and a drug plan |
Predictable costs and travel freedom |
Higher monthly premium; buy during your guaranteed-issue window |
The Medigap window most people miss
Here is the part worth reading twice. When your Medicare Advantage plan is discontinued through no fault of your own, federal law gives you a guaranteed-issue right to buy a Medigap plan without medical underwriting. No health questions. No denial for a prior condition. That protection does not exist most of the time, so a non-renewal is one of the few chances you get.
Why that matters in South Carolina: outside of a protected window, Medigap carriers here can ask health questions and turn you down or charge you more. Someone who has been on Medicare Advantage for years and has since developed a health condition often cannot pass underwriting to get a supplement. This window lets them switch anyway.
The timing is specific. The guaranteed-issue window starts 60 days before your Medicare Advantage coverage ends and runs for 63 days after it ends (Yahoo Finance). Which plans you can buy on a guaranteed-issue basis depends on when you first became eligible for Medicare. If you were eligible before January 1, 2020, that includes Plan G along with Plans A, B, C, D, K, and L, and in some cases Plan F. If you became eligible on or after January 1, 2020, Plan G is the standout option, along with A, B, D, K, and L (Boomer Benefits). Plan G is the most popular supplement for good reason: predictable costs and the freedom to see any provider nationwide that takes Medicare.
If you think you might ever want a Medigap plan, price one now, while the door is open. Waiting until after your window closes can mean answering health questions later, and that is exactly when people get stuck.
The dates that matter for 2027
Mark these on your calendar. Missing a window can leave you with fewer choices or a gap in coverage.
| Window |
Dates |
What you can do |
|---|---|---|
| Annual Enrollment Period (AEP) |
Oct 15 - Dec 7, 2026 |
Switch Medicare Advantage plans, change Part D, or move between Original Medicare and Medicare Advantage; coverage starts Jan 1, 2027 |
| Special Enrollment Period for a non-renewed plan |
Dec 8, 2026 - end of Feb 2027 |
Extra time to pick a new plan if your Humana plan was discontinued (Yahoo Finance) |
| Medigap guaranteed-issue window |
60 days before to 63 days after your coverage ends |
Buy a Medicare Supplement with no health questions |
| Medicare Advantage Open Enrollment |
Jan 1 - Mar 31, 2027 |
One change if you are in a Medicare Advantage plan and want a do-over |
The cleanest plan is to make your choice during AEP, before December 7, so your new coverage is locked in for January 1 with no gap. The special enrollment period is a safety net, not a reason to wait. The sooner you decide, the more Medigap and drug-plan options are still open to you.
What else is changing for 2027
The Humana exits are the headline, but a few other changes affect nearly everyone on Medicare in 2027.
The Part D drug cap is going up. In 2027 your out-of-pocket spending on covered prescriptions is capped at $2,400, up from $2,100 in 2026. Once you hit that number, you pay $0 for covered drugs for the rest of the year (24/7 Wall St.). The standard Part D deductible also rises to $700, up from $615, and what you pay toward the deductible counts toward the cap. Your monthly premium is separate and keeps billing even after you hit the cap.
If a high-cost prescription makes that $2,400 feel like a lot to absorb early in the year, the Medicare Prescription Payment Plan lets you spread your drug costs into level monthly payments across the year instead of paying a big bill at the pharmacy counter. It is optional, and you can sign up through your drug plan.
One caution for anyone on an expensive specialty drug: the cap only protects spending on drugs your plan actually covers. If a medication is left off your plan's formulary, that spending does not count toward the $2,400 (24/7 Wall St.). This is one more reason to check the drug list on any plan before you enroll, not after.
Five mistakes to avoid
We see the same missteps every year when plans get discontinued. A little care here saves real money and headaches.
- Letting the automatic move happen without checking. If Humana crosswalks you into another plan, that plan may have a different network, different drug list, and different costs. Treat it as one option to compare, not the default.
- Chasing the lowest premium. A $0 premium plan can still cost you thousands if your doctor is out of network or your drug is not covered. Look at the whole picture, not just the monthly price.
- Skipping the Medigap window. This is the big one. If you might ever want a Medicare Supplement, price it now while you can get it without health questions. That door closes 63 days after your coverage ends.
- Not checking your doctors and prescriptions. Before you enroll in anything, confirm your providers are in network and every prescription is on the plan's drug list. Do this for each plan you are seriously considering.
- Waiting until the last minute. Enroll by December 7 so your coverage starts clean on January 1. Leaning on the special enrollment period means fewer options and more stress.
How we can help
Mauldin Insurance Group is a local, independent agency based in Lexington, South Carolina, serving the Midlands and the whole state. Independent means we are not tied to Humana or any single carrier. We compare your options across the plans available in your county and help you land on the one that fits your doctors, your prescriptions, and your budget.
Using a broker costs you nothing. We are paid by the carriers, and the plan premium is the same whether you enroll with us or on your own. What you get is someone local who reads the fine print with you and is here after enrollment when you have questions.
If you got a Humana non-renewal letter, or you just want a second set of eyes before December 7, reach out. Call Jennifer at 843-509-2462 or Ben at 803-920-8827, and let's go through your options while every door is still open.
Quick answers
My plan is ending. Will I have a gap in coverage? No, as long as you enroll in a new plan during the fall window. Your current coverage runs through December 31, and your new coverage starts January 1.
Do I have to switch to another Humana plan? No. You can choose any plan available in your county, from any carrier, or move to Original Medicare with a supplement and a drug plan.
Can I be denied a Medigap plan because of my health? Not during your guaranteed-issue window after a non-renewal. That protection runs from 60 days before your coverage ends to 63 days after. Outside that window, health questions can apply in South Carolina.
What if I miss December 7? You still have a special enrollment period through the end of February because your plan was discontinued, but your best options narrow the longer you wait.
Is there a cost to work with your agency? No. Our help is free to you.
Sources
- 24/7 Wall St. — Humana dropping plans covering 600,000 members in 2027
- Yahoo Finance — Forced out of a Medicare Advantage plan, 2027 letters by October 2
- 24/7 Wall St. — Part D cap rises to $2,400 in 2027
- Humana — What's new for Medicare Part D in 2027
- Boomer Benefits — Medicare Supplement guaranteed-issue rights
- medicareresources.org — Medicare open enrollment dates
Sep 20, 2026 · @Ben MauldinHumana is cutting Medicare Advantage plans for 2027, and the letters are landing nowIf you have a Humana Medicare Advantage plan in South Carolina, check your mail....
