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Payers are reducing Medicare Advantage options next year

By Newsweek  
   October 07, 2025

Multiple health insurers are decreasing their Medicare Advantage options for next year as the health insurance industry navigates lower government reimbursement rates. The federal government said it would lower its payments on Medicare Advantage to save money, but seniors relying on the privatized version of Medicare may feel the hit to their coverage options. Nearly 70 million Americans rely on Medicare for health insurance, with roughly half on Medicare Advantage, or privatized Medicare plans run by health insurers. With fewer options available, seniors’ health outcomes could suffer, and more retirees could also turn to the traditional Medicare available through the federal government.

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