CMS Reports Medicare Advantage Premiums Decline and Enrollment Drop Expected in 2026

The Teachers' Retirement System (TRS) Board of Trustees in Illinois announced health insurance premium rates for retirees aged 26 to 64 for 2025-2026, with managed care plans costing $370.76 monthly and PPO plans $857.02. Meanwhile, the Centers for Medicare & Medicaid Services (CMS) projected a slight decline in Medicare Advantage (MA) premiums from $16.40 in 2025 to $14 in 2026, alongside a decrease in Part D prescription drug plan premiums. Although MA enrollment is expected to decrease from 34.9 million to 34 million in 2026 based on insurer projections, CMS anticipates more stable enrollment than forecasted, with over 99% of Medicare beneficiaries retaining access to MA plans. Supplemental benefits such as dental, vision, and hearing are expected to remain stable, and the total number of MA plans will slightly decrease. CMS is also enhancing tools to simplify Medicare plan selection, aiming to help beneficiaries make informed decisions during open enrollment.