Medicare Plans Deliver Best Options for 2025
The Centers for Medicare & Medicaid Services (CMS) announced that Medicare Advantage (MA) is expected to continue its growth in 2025, with enrollment projected to reach at least 35.7 million beneficiaries, making up over 51% of the total Medicare market. This growing trend in MA enrollment highlights the increasing preference for privately managed plans over traditional Medicare.
As we approach Medicare’s annual enrollment period (AEP), which runs from October 15 through December 7, beneficiaries have a crucial decision to make. During this period, seniors can choose between the traditional Medicare program administered by the federal government and Medicare Advantage (MA) plans offered by private insurers. In addition to these options, standalone Part D prescription drug coverage and supplemental benefits will also be available. Coverage for those who enroll during this period begins on January 1, 2025.
This year, leading health insurers are stepping up their game to attract more enrollees by expanding coverage areas, enhancing benefits, and offering new incentives. Let’s take a closer look at what some of the major payers will offer for the 2025 Medicare Annual Enrollment Period.
Overview of Medicare’s Annual Enrollment Period
Traditional Medicare vs. Medicare Advantage
Medicare beneficiaries have two primary options during the annual enrollment period: traditional Medicare and Medicare Advantage. Traditional Medicare is run by the federal government and includes Part A (hospital insurance) and Part B (medical insurance). Beneficiaries can also add a standalone Part D plan for prescription drugs and purchase supplemental coverage to help with out-of-pocket costs.
On the other hand, Medicare Advantage, or Part C, bundles Medicare Parts A, B, and usually D into one plan, managed by private insurance companies. These plans often offer additional benefits such as dental, vision, hearing, and wellness programs.
Key Dates and Enrollment Details
– Enrollment Period: October 15 to December 7, 2024
– Coverage Start Date: January 1, 2025
– Options Available: Traditional Medicare, Medicare Advantage (MA) plans, standalone Part D prescription drug plans, supplemental benefits
What’s New for Major Payers in 2025
1. UnitedHealthcare
As the nation’s largest Medicare Advantage carrier, UnitedHealthcare (UHC) is adding 140 new plans to its roster for 2025. This expansion will reach 96% of Medicare eligibles across the U.S. Notably, UHC will expand its dual special needs plans (DSNPs), targeting dual eligibles, reaching an additional 135,000 people.
Key benefits in 2025 include:
– Credits for over-the-counter (OTC) products and healthy food
– $0 copayments for virtual care and mental health visits
– Rewards for wellness activities such as annual physicals and exercise
– Stipends for healthy food and diabetes care, including insulin for $25 per month
UHC’s chronic condition special needs plans (CSNPs) will also expand to cover 70% of the chronic conditions market, offering comprehensive benefits for members with complex health needs.
2. Humana
Humana will offer plans across 48 states, the District of Columbia, and Puerto Rico in 2025, reaching 89% of U.S. counties. The insurer is expanding both its HMO and PPO plans into new counties, including dual special needs plans in North Dakota.
Humana is introducing new benefits in response to consumer feedback, such as annual glasses for members with vision coverage and broad dental coverage in nearly every county. The insurer’s Full Access PPO plans are popular due to their flexibility, allowing enrollees to see any doctor accepting Medicare, even out of network, at the same copayment rate.
Humana’s CenterWell Pharmacy also offers home delivery for prescriptions and OTC medications, further enhancing convenience for members.
3. Aetna
CVS Health’s Aetna unit is expanding its MA footprint by adding 76 new counties in 2025, reaching an additional 662,000 Medicare eligibles. Aetna projects that 83% of Medicare beneficiaries will have access to one of its $0 premium plans.
The insurer is enhancing its dual special needs plans (DSNPs) with an Extra Benefits Card for healthy foods and OTC products. The card consolidates previous benefit cards into a single offering for more seamless access. Chronic condition special needs plans (CSNPs) will focus on tailored care for diabetes, heart failure, and cardiovascular disease.
All Aetna plans will feature dental, vision, and hearing benefits, with allowances for services like dentures and crowns.
4. Elevance Health
Elevance Health will offer Medicare Advantage plans in 23 states and Puerto Rico for 2025, adding 99 new counties to its footprint. Most plans will feature a $0 premium and $0 copayments for primary care visits.
The insurer is also focusing on digital health tools, such as the Sydney Health app, which allows members to manage benefits, find in-network providers, and track prescriptions. Programs like Member Connect, which proactively reaches out to members living alone, have reduced hospital admissions and ER visits significantly.
5. Cigna
Cigna Healthcare will expand its Medicare Advantage offerings to 29 states and the District of Columbia in 2025. New benefits include a “living needs allowance” within its dual special needs plans, which members can use for healthy food, utilities, and cleaning supplies.
Cigna’s Healthy Today flex card connects members to other benefit options, rewards, and incentives. Members can earn up to $200 for completing health screenings or engaging in healthy behaviors.
All Cigna plans will include dental, vision, and hearing coverage, with fitness and transportation benefits available in select plans.
6. Wellcare (Centene)
Wellcare, part of Centene, will be expanding into Iowa for 2025, offering plans across 32 states. However, the insurer will exit six states, reducing its overall footprint. Despite this, Wellcare plans to reach 77% of eligible seniors in its operating states.
New offerings include access to Twill by Dario for behavioral health and social needs support. The Wellcare Spendables Card, which can be used for groceries, rent, and utilities, will also be expanded for 2025. Members will enjoy $0 copayments for primary care, along with dental, glasses, and fitness benefits across all plans.
FAQs
Q1: When is the Medicare annual enrollment period?
A. The enrollment period runs from October 15 to December 7, 2024, with coverage beginning on January 1, 2025.
Q2: What are Medicare Advantage (MA) plans?
A. Medicare Advantage plans are privately managed alternatives to traditional Medicare that bundle hospital, medical, and prescription drug coverage, often with added benefits like dental and vision.
Q3: Can I switch from traditional Medicare to Medicare Advantage during this period?
A. Yes, beneficiaries can switch between traditional Medicare and Medicare Advantage during the annual enrollment period.
Conclusion
With Medicare’s annual enrollment period fast approaching, major payers are rolling out exciting new benefits, expanding coverage, and offering innovative solutions tailored to the diverse needs of Medicare beneficiaries. Whether it’s UnitedHealthcare’s expanded reach, Humana’s personalized plans, or Aetna’s enhanced benefits, seniors have more choices than ever in the 2025 Medicare market.
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