Map Shows Where Millions Could Lose Medicare Advantage Benefits

After Humana announced it would be cutting its Medicare Advantage plans by 2025, seniors have been panicked, wondering how it will affect their health care coverage.

Six million Americans are insured through Humana's Medicare Advantage. Not all states are equally affected by the cuts, though. While Humana offers Medicare Advantage plans in all 50 states, its coverage is concentrated among the Southeast.

According to recent Humana coverage data, these are the top five states most likely to be affected by the Medicare Advantage cuts based on the number of policyholders: Florida (742,591), North Carolina (456,318), Georgia (336,617), Texas (289,120) and Illinois (256,081).

"We acknowledge that the industry is experiencing a dynamic and challenging time that we must navigate," CEO Bruce Broussard told investment analysts during a quarterly call Wednesday.

Chris Fong, the CEO of Smile Insurance Group, said in these states, the larger majority of seniors enrolled in Medicare Advantage plans are likely around major cities, and many will see their extra benefits like dental, vision and flex cards cut.

"These benefits are historically the benefits that are adjusted when a plan is expecting to receive less from Medicare which previously would usually come from a lower star rating," Fong told Newsweek.

Millions of Americans in these states risk running out of coverage after the company said its Medicare Advantage options would become more limited. The company made the choice based on government Medicare payments that it said aren't keeping up with the costs of health services.

Fong said seniors who aren't on Humana aren't in the clear, either. Other health insurers are likely to follow suit as a way to make revenue targets.

"The wide-reaching benefit reduction is something that we have been waiting to happen for several years," Fong said. "It is likely we will see more insurance companies who offer Medicare Advantage plans pull their plans out completely which is another problem that forces those members to choose another plan."

UnitedHealth is one of many other companies struggling to keep pace with dwindling Medicare Advantage profits.

"Our strategy continues to focus on providing as much stability as possible in the reduced funding environment," UnitedHealth CEO Andrew Witty said during last month's investor call.

Mutual of Omaha also stopped offering its standalone Medicare prescription drug plans because of higher costs and inflation.

"Humana isn't the only one feeling the squeeze," Michael Ryan, a finance expert and the founder of michaelryanmoney.com, told Newsweek. "Their competitors at UnitedHealth and others have issued similar warnings about escalating costs straining their Medicare Advantage businesses. That means we could be staring down an industry-wide contraction in supplemental benefits like vision, dental and prescription drug coverage."