Carriers & the market
California Bars a Medicare Advantage Insurer From Taking New Members Weeks Before Open Enrollment Closes
The state health plan regulator issued a cease-and-desist order against Astiva Health over solvency shortfalls, stopping new enrollments as the December 7 deadline nears.
By the Goodsurance editorial teamNovember 13, 2026
California's Department of Managed Health Care issued a cease-and-desist order against Astiva Health on November 9, 2026, barring the Southern California Medicare Advantage insurer from accepting new members for the remainder of the annual enrollment period. The order took effect immediately.
Regulators found that Astiva had fallen below California's minimum tangible net equity threshold across multiple reporting periods. The plan had also failed to maintain a higher capital cushion it agreed to hold under a 2023 consent agreement with the department. The state had sent a warning letter in May 2026, flagging that an enrollment freeze was a possible enforcement outcome.
California stopped one Medicare Advantage insurer from taking new members mid-enrollment. Here is what it means if you planned to sign up.
The order applies to new sign-ups only. People who had already selected an Astiva plan before the order was served, and dependents of current members, are exempt. Existing Astiva enrollees retain their coverage and are not required to switch plans.
Because existing members are not losing coverage, the action does not automatically create a special enrollment period. Astiva may request a hearing within 30 days of receiving the order.
The timing matters for anyone actively shopping. The 2027 Medicare Advantage annual enrollment period runs through December 7. California residents who had planned to choose an Astiva plan for 2027 will need to pick a different option before that deadline. Shoppers can compare available plans at medicare.gov or by calling 1-800-MEDICARE.
In plain words
California's health plan regulator told Astiva Health it cannot sign up new Medicare members. This happened on November 9, 2026. The reason is that Astiva does not have enough money set aside as required by state law. People who had already picked an Astiva plan before this order are still enrolled. Current Astiva members keep their coverage and do not have to switch. But anyone who wanted to pick Astiva for 2027 must choose a different plan. Open enrollment ends December 7.
Understand the basics first
Source: California DMHC
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