Why does CMS project a 16.5% drop in 2027 Medicare Advantage premiums?

CMS is projecting a 16.5% decline in 2027 Medicare Advantage premiums, according to AJMC’s September 30, 2026 report. The article says the bigger industry implication is not just affordability, but what lower premiums may signal about plan economics, competitive intensity, benefit design, and potentially tighter medical and pharmacy cost management.