Carriers & the market
HCSC Will Exit More Than 100 Medicare Advantage Counties for 2027, Redirecting Focus to Managed Care Plan Types
Health Care Service Corporation, which expanded its Healthspring-branded Medicare Advantage presence nationwide after acquiring Cigna's Medicare business in 2025, is now scaling back that footprint for 2027, exiting more than 100 counties while concentrating on HMOs and special needs plans.
By the Goodsurance editorial teamSeptember 19, 2026
Health Care Service Corporation, the nonprofit insurer that operates Blue Cross Blue Shield plans across several states and expanded into Medicare Advantage in roughly 30 states following its 2025 purchase of Cigna's Medicare business, is pulling back from more than 100 counties for the 2027 plan year.
HCSC is prioritizing health maintenance organization plans, chronic condition special needs plans, and dual-eligible special needs plans in its remaining service area, rather than broader individual open-enrollment coverage. The company's Healthspring brand serves as the market-facing name for many of these offerings.
HCSC is cutting its Healthspring Medicare Advantage presence in more than 100 counties for 2027, focusing instead on HMOs and special needs plans.
The withdrawal follows a period of significant financial pressure on HCSC's Medicare Advantage operations after the Cigna acquisition substantially enlarged its MA footprint. Multiple large Medicare Advantage insurers have cited rising medical costs outpacing premium revenue as a driver of market exits and geographic contractions heading into 2027.
For beneficiaries in counties HCSC will no longer serve, federal rules require the insurer to send an Annual Notice of Change or non-renewal notice by September 30. Members who receive a non-renewal notice are granted a special enrollment period that allows them to switch to any other available Medicare Advantage or standalone prescription drug plan, or to return to original Medicare, regardless of the usual enrollment calendar.
Medicare's annual open enrollment period, which runs from October 15 through December 7, also allows all Medicare beneficiaries to compare and change plans. Coverage selected during that window takes effect January 1, 2027.
In plain words
A big insurance company called Health Care Service Corporation, or HCSC, is leaving more than 100 counties where it offers Medicare Advantage for 2027. It recently grew a lot after buying another company's Medicare plans, but now it is cutting back.
HCSC is keeping some types of plans, like HMOs and special plans for people with certain medical needs or who have both Medicare and Medicaid. But it is not offering all the same plans it did before.
If your Medicare Advantage plan is run by HCSC or Healthspring and your county is one being dropped, you should get a letter by September 30 saying your plan will not be available next year. That letter gives you the right to switch to a different plan right away.
Open enrollment runs October 15 to December 7. You can use that time to compare plans and pick one for 2027.
Understand the basics first
Source: Becker's Payer Issues
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