Medicare Advantage Plan Member Satisfaction Declines Amid Policy Changes, Digital Innovation Emerges as New Solution.

Medicare Advantage plan member satisfaction has declined due to increased confusion, lower trust, and policy changes. Top-performing plans invest in new-member onboarding, transparency, digital tools, broader networks, and social support services to maintain member trust and satisfaction. Digital tools, such as member portals, drive personalization, automation, and increased transparency. First-year member satisfaction lags, with only 38% saying their insurer fulfills service expectations.

Medicare Advantage plan member satisfaction has declined significantly in recent years due to increased confusion, lower trust, and policy changes. According to the J.D. Power 2025 U.S. Medicare Advantage Study, overall customer satisfaction with Medicare Advantage plans has dropped to 623 out of 1,000, down 29 points from the previous year. The primary cause of this decline is a 39-point drop in members’ overall level of trust in their Medicare Advantage plan [1].

The study highlights that top-performing plans are investing in robust new-member onboarding, increased transparency, digital tools, broader networks, and social support services to maintain member trust and satisfaction. Digital tools, such as member portals, are driving personalization, automation, and increased transparency, with high-performing plans scoring 98 points higher than low-performing plans on digital satisfaction [1].

First-year member satisfaction lags, with only 38% of new members saying their insurer fulfills their service expectations. This number rises to 45% among established members. Common challenges cited by new members include explanation of benefits, finding in-network doctors, deductibles, prior authorizations, and usage of Health Savings Accounts (HSAs)/Health Retirement Accounts (HRAs) [1].

In addition to these challenges, insurers are scaling back their Medicare Advantage operations due to rising costs and lower government payments. Major insurers, including Humana, CVS Health Aetna, and UnitedHealthcare, have announced plans to drop millions of members by the end of 2025 and 2026. This shift could significantly impact older Americans who rely on Medicare Advantage, with potential implications for retirement planning [2].

The U.S. Medicare Advantage Study, now in its 11th year, measures member satisfaction based on eight factors, with level of trust being the most important. The study is based on the responses of 10,888 members in 10 U.S. regions and was fielded from January through June 2025 [1].

References:
[1] https://www.businesswire.com/news/home/20250819910457/en/Medicare-Advantage-Plan-Member-Satisfaction-Facing-Headwinds-Digital-Innovation-an-Emerging-New-Solution-J.D.-Power-Finds
[2] https://finance.yahoo.com/news/insurers-axe-medicare-plans-heres-220328892.html