Queen's Hospital Excluded From New HMSA HMO Plan
Oahu health providers and patients face network changes as a major hospital system opts out of the insurer's new HMO product.
Updated on Oct. 14, 2026 in Healthcare
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The Queen's Health Systems has announced it will not participate in the new HMSA Select Plus HMO Medicare Advantage plan available to Oahu residents. This shift arrives as HMSA moves to close existing Akamai Advantage PPO plans by the end of 2026.
Why it matters
The decision creates immediate coverage uncertainty for thousands of Medicare Advantage enrollees who utilize the state's largest private hospital system. Queen's officials cited a lack of clarity regarding the operational structure of the new HMO network as the primary reason for non-participation.
HMSA is notifying 16,000 members about plan closures, while the new Select Plus HMO network includes 60% of providers found in the insurer's Medicare PPO network. Monthly premiums for new offerings include $55 for the Complete PPO plan and $240 for the Complete Plus plan.
The players
The Queen's Health Systems
The largest private nonprofit hospital system in Hawaii and the state's only Level 1 trauma center.
HMSA
A major health insurance provider managing Medicare Advantage plans for members across Hawaii.
The details
HMSA is currently conducting outreach via direct mail and phone calls to members impacted by the closure of the Akamai Advantage Complete Plus and Standard Plus PPO plans. While Queen's remains out of the HMO network for routine care, emergency and urgent services will continue to be covered. The hospital system is managing the transition through internal memos, lobby posters, and a dedicated patient call center.
Timeline
October 1, 2026: Queen's issued formal notices to staff and patients.
October 15, 2026: Medicare open enrollment period commences.
December 7, 2026: Medicare open enrollment period concludes.
December 31, 2026: Existing Akamai Advantage PPO plans are scheduled to close.
2027: New Akamai Advantage PPO plans will take effect.
Market Landscape
This move highlights the annual volatility in provider networks that occurs during the Medicare Advantage open enrollment cycle. It follows a established pattern where hospital systems and insurers negotiate network access points ahead of the new calendar year.
Operators in the Honolulu healthcare space should anticipate increased patient inquiries regarding network coverage and referral eligibility through the end of the year. Business leaders and office managers should verify specific insurance plan participation for all routine patient services before the December 31 plan changeover.
The takeaway
The exclusion of a major hospital system from a restricted HMO network underscores the importance of verifying provider access before selecting new health plan products. Operators should monitor patient communication channels to address questions regarding the December 31 transition date.
What happens next
Medicare open enrollment runs from October 15, 2026, through December 7, 2026, during which time members must navigate the closure of existing plans and the introduction of new options.
Further reading
For more on industry shifts affecting local providers, visit the Healthcare section.
Source note: This article includes information reported by InsuranceNewsNet.
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