2025 AEP Insight: State Overview📊

2025 Medicare Advantage plan trends: State expansion and consolidation

October 21, 2024       Market Research

Table of Contents

State-by-State Medicare Advantage Trends: Growth in 38%, Shifts in 54%, Stability in 8%

In 2025, several states saw notable shifts in plan counts, with growth in some areas and sharp declines in others. Pennsylvania led the increase with a 12% YoY rise, adding 35 plans compared to 2024, while Mississippi (22% YoY) and Georgia (10% YoY) also saw strong growth. States such as Louisiana, Tennessee, North Carolina, Indiana, and Colorado demonstrated notable growth in the number of plans from 2024 to 2025, each increasing by over 10 plans. This upward trend suggests an active expansion in Medicare markets, as essential areas of growth amidst overall industry consolidation. 

States with Positive Growth in Plan Counts (2024 vs. 2025)

State
Number of plans in 2024
Number of Plans in 2025
Added Plans in 2025
Penetration rate (%)
Pennsylvania
281
316
35
44%
Georgia
162
178
16
43%
Mississippi
72
88
16
40%
Tennessee
118
131
13
48%
Louisiana
99
112
13
49%
North Carolina
162
174
12
44%
Colorado
120
132
12
42%
Indiana
144
155
11
41%

**Penetration rate (%) is based on September 2024.

However, significant consolidation was observed in major states like California, which dropped by 44 plans (-9% YoY), and New York, down by 36 plans (-13% YoY). Other regions, such as Washington (-18% YoY) and Wisconsin (-20% YoY), faced sharp contractions. Vermont experienced the most dramatic drop with a 67% YoY reduction in plan counts from 24 to 8 plans. These trends suggest a growing divergence in plan availability across states, with some regions consolidating and others expanding to meet demand.

States with Decline in Plan Counts (2024 vs. 2025)

State
Number of plans in 2024
Number of Plans in 2025
Declined Plans in 2025
Penetration rate (%)
California
465
421
-44
40%
New York
272
236
-36
44%
Wisconsin
144
115
-29
50%
Washington
152
125
-27
42%
Oregon
132
109
-23
49%
Florida
613
591
-22
52%
Idaho
83
66
-17
47%
Vermont
24
8
-16
23%
Massachusetts
113
99
-14
31%
Rhode Island
36
25
-11
55%

**Penetration rate (%) is based on September 2024.

At the national level in 2025, Florida is leading the way with 591 total plans and 64 new plans, followed by California (421, 52), Texas (385, 55), Pennsylvania (316, 54) and New York (236, 26). Along with leading states, Georgia, Illinois, and Washington are witnessing a surge in new plans, with Georgia showing 37 new additions, Illinois and Washington at 35.

The distribution of plan categories across states reveals that Renewal Plans continue to dominate, reflecting national trends. Even in Consolidated Renewal Plans, the leading states are California (45), Florida (22), and Pennsylvania (17), while six states have no such plans. Texas (54), Ohio (33), and Florida (28) top the list for Renewal Plans with SAE, although four states have none. Texas (48), Indiana (41), and North Carolina (38) also show strong numbers for Renewal Plans with SAR, while Hawaii does not have any SAR plans. Initial Contracts are concentrated in Indiana, which has 11 plans, with Georgia, North Carolina, and Missouri each having 8.

Smaller states, like Vermont and Wyoming, exhibit minimal growth. Wyoming holds steady with 20 total plans despite no new additions, and Vermont with only eight plans—the fewest among all states—includes just a single New Plan. These variations reflect diverse strategic priorities across regions.

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