Core Benefits Hold Steady Amid Resource Reprioritization

For 2026, most MA organizations continue to offer core supplemental benefits such as dental, vision, and hearing coverage. However, certain ancillary benefits—like fitness memberships and OTC allowances—have declined, signaling a measured shift in benefit prioritization.

“Plans are returning to the basics—refocusing on the benefits that most directly impact their members’ health and engagement,” shared RaeAnn Grossman, CEO of HLTHWorks, during a recent Supplemental Benefit webinar.

This recalibration reflects tighter budgetary environments and the growing expectation from CMS and members alike that every dollar invested must demonstrate value and measurable impact.

SNPs: The Frontline of Nonmedical Benefit Innovation

Special Needs Plans (SNPs)—especially Chronic Condition SNPs (C-SNPs)—are driving nearly all the observed growth in nonmedical benefits. Today, nearly every C-SNP includes some form of nonmedical support, from food and produce stipends to housing and utility assistance.

While roughly 25% of general MA plans now offer any nonmedical benefits, C-SNPs continue to set the pace for innovation, demonstrating how social and environmental supports can enhance outcomes for members with chronic conditions.

“Nearly every C-SNP now offers some type of nonmedical support,” Grossman noted. “These programs are proving to be differentiators—linking social needs to better clinical performance.”

Food, Home-Focused, and Caregiver Supports on the Rise

Among nonmedical categories, food and home-based benefits continue to gain traction. Food and produce programs are particularly appealing to plans due to their direct, quantifiable impact on chronic condition management.

Caregiver and in-home support services are another area of growth—especially among D-SNPs—as plans recognize the central role caregivers play in maintaining independence and reducing institutional care costs. Meanwhile, nonmedical transportation has declined slightly, attributed to the operational complexities of delivery and verification.

Flex Cards: Expanding Access, Tightening Allowances

Flex cards have emerged as a versatile tool for benefit delivery. In 2026, half of all MA plans will use flex cards for at least one supplemental benefit, and nearly one-third will deploy them for nonmedical supports.

Average annual allowances, however, have slightly decreased—from $1,430 to $1,398 per member—as plans balance flexibility with cost containment. The most common flex card categories remain food, rent, and utility assistance, while transportation continues to lag behind. SNPs remain the most aggressive adopters of flex cards for holistic member support.

“While more plans are using flex cards to enhance flexibility,” Grossman explained, “they’re doing so with fewer total dollars available. The emphasis is shifting from quantity of benefit to quality of impact.”

Looking Ahead: Strategic Implications for 2027

Market stability does not mean stasis. HLTHWorks anticipates 2026 as a foundation year for refinement—where plans are learning what works, trimming excess, and positioning for stronger 2027 filings.

Key trends to monitor include:

• Balancing generosity and eligibility within tighter margins.
• Assessing the sustainability of flex cards as delivery vehicles for nonmedical supports.
• Optimizing SNP customization to balance member personalization with operational simplicity.
• Tracking early outcome data to inform future filings and CMS expectations.