Medicare Advantage plans are paid more for sicker members and less for healthier members, which provides an incentive for MA plans to report as many diagnoses as legitimately possible.

Shares of UnitedHealth, Humana, and CVS Health were rising after the federal government announced an increase in Medicare Advantage payments.

Shares of major health insurers jumped early Tuesday after the federal government announced a better-than-expected, 2026 payment increase for Medicare Advantage plans.