ALIGNMENT HEALTHCARE'S KEY CONTRACT LOSES HALF A STAR

Alignment Healthcare disclosed in an SEC filing that CMS cut the Star Rating on its main Medicare Advantage contract, H3815, to 3.5 for 2027 from 4.0, a contract covering about 75% of the insurer's membership. The company blamed tougher industry cut points plus a retroactive change to CMS's bonus formula, applied after the review period had already closed. $ALHC says the quality-bonus hit lands in fiscal 2028, with 2026 and 2027 revenue unaffected for now.