On Tuesday, June 2, 2026, Presbyterian Healthcare Services announced most of its Medicare Advantage Plans will be discontinued by 2027 amid financial strain. According to PHS, roughly 30,000 members will be impacted by the change. MORE: Presbyterian Healthcare Services Medicare Advantage PlansHealth plan and administrative roles have also been reduced, and 150 layoffs will go into effect. Currently, there are 14,000 Presbyterian employees. However, the decision will not affect members’ coverage for the current year. KOAT reached out to PHS in response to the announcement. PHS sent the following statement.What are Medicare Advantage Plans? “A Medicare Advantage plan (also known as Part C) is a bundled “all-in-one” alternative to Original Medicare. Offered by private insurance companies approved by Medicare, these plans combine your Part A (hospital) and Part B (medical) coverage, and most also include prescription drug coverage (Part D).”On Tuesday, KOAT spoke with licensed clinical social worker Kenneth Winfrey on the impacts he believes the cuts will have on New Mexicans in the near future. Winfrey works with patients under Medicaid and Medicare. “Health members are going to end up with a fractured care team. What the Medicare Advantage Plans have been able to allow some people to do is to create a suite of services. So, they have a cardiologist or a primary care physician or a physical therapist that are covered under one plan,” Winfrey told KOAT. “We’ve come to appreciate and understand that the Medicare Advantage plans are very difficult for providers and for entities like Presbyterian. It’s just really unfortunate that it’s happened this way with such a large entity,” Kenneth said.Presbyterian Healthcare Services statement”Presbyterian is focused on where we can make the greatest difference: delivering high-quality care, expanding access, and staying a strong, independent healthcare system for New Mexico. To support that mission, we have made the difficult decision to no longer offer most of Presbyterian Health Plan’s Medicare Advantage plans in 2027. Importantly, this decision does not affect members’ coverage for the current plan year, which will continue as expected. For Presbyterian, continuing in this market would limit our ability to invest in the care, workforce and access to serve New Mexicans where they need us most. We will continue to offer our Medicare Advantage Dual Plus Special Needs Plan (D-SNP). We have also reduced some health plan and administrative roles. These are difficult decisions involving valued members of our workforce who have made meaningful contributions to Presbyterian and to our communities. About 150 roles have been impacted. Direct patient care roles will not be affected. Hiring and expanding clinical positions is our greatest need—we are actively trying to fill about 870 open clinical positions across our hospitals and clinics. We know this news may be disruptive and we are committed to supporting our community throughout the transition. Community members can call (505) 923-2000 (TTY 711) for help.”Stay updated from the latest on the KOAT app. Download here
On Tuesday, June 2, 2026, Presbyterian Healthcare Services announced most of its Medicare Advantage Plans will be discontinued by 2027 amid financial strain. According to PHS, roughly 30,000 members will be impacted by the change.
MORE: Presbyterian Healthcare Services Medicare Advantage Plans
Health plan and administrative roles have also been reduced, and 150 layoffs will go into effect. Currently, there are 14,000 Presbyterian employees. However, the decision will not affect members’ coverage for the current year. KOAT reached out to PHS in response to the announcement. PHS sent the following statement.
What are Medicare Advantage Plans?
“A Medicare Advantage plan (also known as Part C) is a bundled “all-in-one” alternative to Original Medicare. Offered by private insurance companies approved by Medicare, these plans combine your Part A (hospital) and Part B (medical) coverage, and most also include prescription drug coverage (Part D).”
On Tuesday, KOAT spoke with licensed clinical social worker Kenneth Winfrey on the impacts he believes the cuts will have on New Mexicans in the near future. Winfrey works with patients under Medicaid and Medicare.
“Health members are going to end up with a fractured care team. What the Medicare Advantage Plans have been able to allow some people to do is to create a suite of services. So, they have a cardiologist or a primary care physician or a physical therapist that are covered under one plan,” Winfrey told KOAT.
“We’ve come to appreciate and understand that the Medicare Advantage plans are very difficult for providers and for entities like Presbyterian. It’s just really unfortunate that it’s happened this way with such a large entity,” Kenneth said.
Presbyterian Healthcare Services statement
“Presbyterian is focused on where we can make the greatest difference: delivering high-quality care, expanding access, and staying a strong, independent healthcare system for New Mexico. To support that mission, we have made the difficult decision to no longer offer most of Presbyterian Health Plan’s Medicare Advantage plans in 2027.
Importantly, this decision does not affect members’ coverage for the current plan year, which will continue as expected. For Presbyterian, continuing in this market would limit our ability to invest in the care, workforce and access to serve New Mexicans where they need us most. We will continue to offer our Medicare Advantage Dual Plus Special Needs Plan (D-SNP).
We have also reduced some health plan and administrative roles. These are difficult decisions involving valued members of our workforce who have made meaningful contributions to Presbyterian and to our communities.
About 150 roles have been impacted. Direct patient care roles will not be affected. Hiring and expanding clinical positions is our greatest need—we are actively trying to fill about 870 open clinical positions across our hospitals and clinics.
We know this news may be disruptive and we are committed to supporting our community throughout the transition. Community members can call (505) 923-2000 (TTY 711) for help.”
Stay updated from the latest on the KOAT app. Download
