Humana Hit Hard: Judge Upholds Medicare Advantage Star Cut, Stock Slides
A federal judge on Oct. 14 upheld the U.S. government’s downgrade of Humana’s 2025 Medicare Advantage star rating from 4.5 to 3.5 stars, dismissing Humana’s lawsuit. The ruling leaves about 45% of Humana’s Medicare Advantage members in lower-rated plans and could cost the company an estimated $1 billion in lost federal bonus payments next year. Humana shares fell 3–4% on the news. The company said it may appeal.