MCMURRAY, Pa., March 3, 2016 /PRNewswire/ -- Medicare Advantage companies continue to experience robust growth rates according to an analysis brief by Mark Farrah Associates (MFA),www.markfarrah.com, a leading provider of market data and intelligence solutions. Over 18.2 million people were enrolled in Medicare Advantage (MA) plans as of February 2016, roughly 33% of the 54.8 million people eligible for Medicare, according to data from The Centers for Medicare and Medicaid Services (CMS). Aggregate MA enrollment increased by 927,534 net new members from February 2015.
The Annual Election Period (AEP) for Medicare Advantage and prescription drug plans, which occurs between October 15 and December 7 each year, continues to be a successful platform for MA company growth. Medicare Advantage plans then rely on February and March enrollment reports to evaluate their standing and assess which competitors gained and lost members during the last AEP. In addition, February 2016 membership figures reflect business accepted and booked through January 8th therefore, there may likely be competitive shifts in enrollment and market observations through March. Many companies conduct their post-AEP competitive assessments by using tools such as Mark Farrah Associates' (MFA) Medicare Business Online™ and Health Coverage Portal™.
Total Medicare Advantage (MA) plan enrollment as of February 1, 2016 increased 5.4% from February 2015. Ten carriers with more than 250,000 members covered 67% of all Medicare Advantage enrollees. All but three leading MA companies experienced growth year-over-year. UnitedHealth remained the top MA organization in the country as of February 2016, gaining 360,955 new members, and commanding a 21% market share. Humana ranks a strong second with 17.5% market share. Aetna and Kaiser Family Foundation followed United in terms of year-over-year enrollment growth with 8.3% and 5.4% net membership gains, respectively.
Enrollment in Medicare Advantage plans is primarily through direct purchase by individuals or from a retiree plan offered by an employer. MFA reported that 82% of MA membership was individual while only 18% of total MA enrollees are in employer group health plans (EGHP's). Nonetheless, group membership continues to steadily grow year-over-year primarily driven by UnitedHealth plan gains.
HMO's continue to be the predominate type of plan coverage in the Medicare Advantage segment. As of February 2016, 63% of all members were enrolled in an HMO plan. PPOs, including local and regional plans, covered 30% of MA enrollees. Medicare-Medicaid HMO plans, or dual eligible programs, enrolled more than 370,000 in February 2016, up from 310,000 during the same month in 2015.
To read the full text of "Medicare Advantage Enrollment Covers Over 18 Million Members", visit the Analysis Briefs library on Mark Farrah Associates' website.
About Mark Farrah Associates (MFA)
MFA is a leading data aggregator and publisher providing health plan market data and analysis tools for the healthcare industry. Committed to simplifying analysis of health insurance business, our products include Medicare Business Online™, Medicare Benefits Analyzer™, Health Coverage Portal™, County Health Coverage™, Health Insurer Insights™, and Health Plans USA™.
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SOURCE Mark Farrah Associates