2025 Medicare Advantage Star Ratings: 3 Key Takeaways
Medicare Advantage star ratings have fallen for the third straight year. The average rating for 2025 dropped to 3.92, with the number of top-rated plans plummeting. News directory 3 delivers need-to-know data: the shrinking number of five-star contracts, the decline in contracts earning four stars or more, and the overall trend. These shifts may impact plan offerings, member benefits, and premiums. Explore the details and analyze the implications for beneficiaries and providers. Discover what’s next …
Medicare Advantage Star Ratings decline for Third Year in a Row
Updated June 12, 2025
The Centers for medicare & Medicaid Services (CMS) released its 2025 Medicare Advantage (MA) and Part D Star Ratings on October 10, revealing a continued decline in overall performance. This marks the third consecutive year of decreasing average ratings for MA plans, despite no significant methodological changes.
The number of MA contracts achieving the highest five-star rating experienced a sharp drop, falling from 38 to just seven. Similarly, the number of contracts earning four stars or higher—the level required to qualify for quality bonus payments—decreased from 242 to 209. Across all MA plans, the average rating fell from 4.07 to 3.92.
Medicare Advantage Performance
| Overall rating | 2024 | 2025 | ||||
|---|---|---|---|---|---|---|
| # of Contracts | Percentage | Weighted by Enrollment | # of Contracts | Percentage | Weighted by Enrollment | |
| 5 stars | 38 | 6.97% | 7.64% | 7 | 1.34% | 1.79% |
| 4.5 stars | 81 | 14.86% | 31.76% | 86 | 16.51% | 28.87% |
| 4 stars | 123 | 22.57% | 36.94% | 116 | 22.26% | 31.47% |
| 3.5 stars | 141 | 25.87% | 15.89% | 165 | 31.67% | 27.71% |
| 3 stars | 126 | 23.12% | 6.77% | 123 | 23.61% | 9.16% |
What’s next
Industry experts are closely watching to see how these declining medicare Advantage star ratings will effect plan offerings and member experiences in the coming years. Plans with lower ratings may face challenges in attracting and retaining members, possibly leading to changes in benefits and premiums.