Introduction

Special Needs Plans (SNPs) have shifted from a niche Medicare Advantage (MA) offering to a central driver of MA growth and strategic focus. As the dual‑eligible population expands and margins tighten across the broader individual MA market, health plans are increasingly turning to SNPs — particularly Dual‑Eligible Special Needs Plans (D‑SNPs) and Chronic Condition Special Needs Plans (C-SNPs) — to sustain growth and better manage high‑need populations.

• SNPs are among the fastest‑growing segments of Medicare Advantage. While SNPs are driven largely by growth in D‑SNP enrollment the C-SNP growth rate has spiked in more recent enrollment periods (2024 to 2026).
• CMS is increasing expectations for Medicare/Medicaid integration, accelerating the shift toward more coordinated and aligned D‑SNP models.
• Despite rapid expansion, the D‑SNP market remains underpenetrated according to certain models, signaling significant remaining headroom.
• C‑SNPs are the fastest‑growing SNP type, driven by concentrated enrollment among members with diabetes and cardiovascular disease.
• Success in the SNP market depends less on enrollment alone and more on a plan’s ability to deliver holistic, coordinated, and scalable care for complex populations.