Humana (HUM) Stock News: 95% of Members Land in 4-Star Plans for 2027

Humana said on October 9 that 95% of its Medicare Advantage members are enrolled in plans rated 4.0 stars or higher by the Centers for Medicare and Medicaid Services for the 2027 rating year. The company's announcement also said 42% of members are in plans rated 4.5 stars.

Why star ratings move an insurer's revenue#

CMS rates Medicare Advantage contracts on a five-star scale each fall. Plans rated four stars or higher qualify for quality bonus payments and higher rebates in the following payment year, which is why the 2027 ratings feed 2028 revenue. Humana had been an outlier on the low side: for 2026, only about 20% of its members were in four-star-plus plans, a figure the company and analysts have both cited.

Humana said six contracts earned 4.5 stars and twelve earned four stars. It attributed the improvement to preventive care, reporting 663,000 additional care opportunities met and 534,000 more members completing an annual preventive visit.

What the figure does not settle#

Bonus payments are revenue, not profit. Insurers typically reinvest part of any increase in member benefits and provider arrangements to stay competitive, so analyst estimates of the earnings effect vary widely and are not company guidance. Ratings are also reassessed every year, and a strong year does not lock in the next one.

For readers following HUM, the useful comparisons are the share of members in four-star-plus plans across several rating cycles, and what management says about reinvestment on its next earnings call. Peers such as UNH and CVS publish the same measure, which makes it a clean cross-company comparison.

Published October 19, 2026. Informational reporting, not investment advice. Company and regulator statements are attributed; no share-price outcome is predicted.