If you have a Medicare Advantage plan or a Part D drug plan, your costs and coverage could change in 2027. You have until December 7, 2026, to review your options and make changes during Medicare Open Enrollment.
After that, most people won’t be able to switch plans until another enrollment period unless they qualify for a special exception.
Here’s what’s changing for 2027, plus a short checklist you can work through in one sitting.
What’s Changing for 2027 Plans?
Medicare Advantage premiums are expected to go down a little on average.
The Centers for Medicare & Medicaid Services (CMS), the federal agency that oversees Medicare, projects that the average monthly Medicare Advantage premium will drop from $14.37 in 2026 to $12.00 in 2027, according to its September 28 announcement.
CMS also estimates that about 8 in 10 Medicare Advantage enrollees could stay in their current plan and pay the same or a lower premium.
Stand-alone prescription drug plans, which people can add to Original Medicare, are expected to stay about the same on average.
CMS projects their average monthly premium will rise from $35.09 to $36.
These are national projections, though, not prices for individual plans.
Your premium could increase even if the national average decreases. Your plan could also change its deductibles, copays, drug coverage, or provider network.
That’s why it’s important to review your own plan instead of relying on the averages.
What About Part D Drug Costs?
This is where some people could notice a bigger change.
The standard Medicare Part D deductible increases from $615 in 2026 to $700 in 2027, according to CMS’s 2027 Rate Announcement.
That’s the standard deductible for Part D in 2027. Some plans charge less or have no deductible, and certain medications may be covered before you meet it.
The annual Part D out-of-pocket cap also rises from $2,100 in 2026 to $2,400 in 2027.
Once your qualifying Part D out-of-pocket costs reach that limit, you pay $0 for covered Part D drugs for the rest of the year.
The cap applies to qualifying prescription drug expenses, not every medical expense you might have.
For someone who takes expensive medications, the higher cap could mean paying more before reaching that protection. However, your actual costs depend on your prescriptions, plan, and financial assistance.
Some medications are also getting cheaper in 2027 because of Medicare’s prescription drug price negotiations.
We explain which medications are affected in Is Your Medicine on Medicare’s New Cheaper Drug List?.
Has the 2027 Part B Premium Been Announced?
At the time of this review, CMS had not yet published the official 2027 Medicare Part B premium and deductible.
In 2026, the standard Part B premium is $202.90 per month, and the annual deductible is $283, according to Medicare.gov.
CMS typically announces the following year’s Part B amounts in the fall. Check Medicare.gov for the official 2027 figures before making your final budget.
This matters even if you don’t think much about Part B.
For most people receiving Social Security, the Part B premium is deducted directly from their monthly benefit.
Social Security’s cost-of-living adjustment for 2027 is 3.6%, but any increase in your Part B premium could reduce how much of that raise you actually receive.
If you’re worried about affording Part B, there are programs that may help pay the premium. We’ll explain those below.
Your Before-Dec. 7 Checklist
If you’re enrolled in a Medicare Advantage or prescription drug plan, your insurer should have sent you an Annual Notice of Change this fall.
That notice explains what’s changing in your coverage on January 1, 2027.
If you can’t find it, check your plan’s website or contact the number on your Medicare plan member card.
Then work through these four steps.
1. Check Your Prescription Drugs
Look at your plan’s 2027 drug list, also called a formulary.
Make sure every medication you take is still covered.
Pay attention to changes in drug tiers, copays, deductibles, and any rules requiring prior authorization or other approval before the plan covers a medication.
A plan that worked well this year might become more expensive if your prescriptions move to higher-cost tiers.
2. Check Your Doctors and Pharmacy
If you have Medicare Advantage, make sure your doctors, specialists, and preferred hospital will still participate in your plan’s network in 2027.
Also check whether your usual pharmacy remains preferred or in network for your prescription drug coverage.
Provider networks can change, and using a different pharmacy may affect your drug costs.
It’s worth confirming with both the plan and your providers before making a decision.
3. Compare Your Total Yearly Costs
Don’t choose a plan based only on its monthly premium.
A plan with a lower premium might have higher deductibles, copays, or other out-of-pocket expenses.
Use the official Medicare Plan Finder to compare available plans.
Enter your medications and preferred pharmacy to see estimates of your yearly prescription drug costs.
For Medicare Advantage plans, also review medical copays, provider networks, and the plan’s annual out-of-pocket maximum for covered Part A and Part B services.
The cheapest monthly premium doesn’t always mean the cheapest coverage overall.
4. Make Any Changes by December 7
If your current plan still meets your needs, you generally don’t have to do anything. Most plans renew automatically if they’re continuing into the next year.
However, don’t assume your coverage will stay exactly the same.
If you want to switch plans during Annual Open Enrollment, Medicare must receive your enrollment request by December 7, 2026.
Changes made during this period generally take effect on January 1, 2027.
For other mistakes to avoid, including choosing a plan based on advertised perks instead of actual coverage, read our guide to 7 Medicare Open Enrollment Mistakes That Could Cost You.
And if you’d like someone to help you compare your options, your State Health Insurance Assistance Program (SHIP) offers free, unbiased Medicare counseling.
SHIP counselors don’t sell insurance plans.
Here’s how to find free SHIP counseling in your state.
Can I Get Help Paying These Costs?
Yes, and it’s worth checking before you compare plans because financial assistance can change how much you actually pay.
Two programs are especially important: Extra Help and Medicare Savings Programs.
Extra Help Can Lower Prescription Drug Costs
Extra Help is a federal Medicare program that helps people with limited incomes and resources pay for Part D prescription drug coverage.
In 2027, people who qualify for full Extra Help generally pay:
- $0 Part D deductible
- $0 premium for qualifying Part D plans within the applicable subsidy rules
- No more than $5.80 for each covered generic drug
- No more than $14.40 for each covered brand-name drug
Some people may pay even less, depending on their circumstances.
These amounts are listed on Medicare.gov’s Extra Help page.
To qualify, you must meet income and resource requirements.
For 2026, the published annual income limits are generally $23,940 for one person and $32,460 for a married couple, although certain income may not count and some applicants with higher incomes can still qualify.
The 2027 income limits depend on updated federal poverty guidelines and should not be assumed to be the same as the 2026 amounts.
CMS has published the following 2027 resource limits for Extra Help:
- $17,210 for one person, or $18,710 when the permitted burial expense allowance is included.
- $34,340 for a married couple, or $37,340 when the permitted burial expense allowances are included.
These figures come from the CMS 2027 Low-Income Subsidy resource limits memorandum.
You can apply for Extra Help through the Social Security Administration.
Our guide to Medicare Extra Help income limits and how to apply explains the process.
Medicare Savings Programs Can Help With Part B
Medicare Savings Programs are administered by states and can help eligible people pay Medicare expenses.
Depending on which program you qualify for, assistance may cover:
- Your monthly Medicare Part B premium
- Certain Medicare deductibles
- Certain Medicare coinsurance and copayments
Not every Medicare Savings Program pays all of these costs.
If you qualify for a Medicare Savings Program, you also qualify automatically for Extra Help with prescription drug costs.
People who receive Medicaid or Supplemental Security Income (SSI) may also qualify automatically for Extra Help under Medicare’s rules.
Learn more in Medicare Costs Eating Your Check? A State Program May Pay Them for You.
What If I Need to Change Plans After December 7?
Some people have additional opportunities to change their Medicare coverage.
If You Have Extra Help or Medicaid
If you receive Extra Help or Medicaid, you may qualify for a special enrollment period that allows you to make certain prescription drug coverage changes once per calendar month.
For example, you may be able to switch to a stand-alone Medicare Part D plan.
If you’re in a Medicare Advantage plan with drug coverage, you may also be able to return to Original Medicare by joining a stand-alone Part D plan.
However, this special enrollment period does not let you switch freely between any Medicare Advantage plans every month.
Separate rules may apply to certain integrated plans for people who have both Medicare and Medicaid.
You can review the details on Medicare.gov’s Special Enrollment Periods page.
If You’re Already in Medicare Advantage
There’s also a separate Medicare Advantage Open Enrollment Period from January 1 through March 31 each year.
If you’re already enrolled in a Medicare Advantage plan, you can generally make one change during that period.
You may be able to:
- Switch to another Medicare Advantage plan.
- Leave Medicare Advantage and return to Original Medicare, with the option to join a stand-alone Part D drug plan.
This period isn’t a second general Open Enrollment opportunity for everyone. It applies to people who are already enrolled in Medicare Advantage.
You can read more about these options on Medicare.gov.
Relief Recap
Medicare Open Enrollment ends December 7, 2026, and the choices you make now could affect your health care costs throughout 2027.
Although average Medicare Advantage premiums are projected to decrease, your own plan could become more expensive or change its coverage.
The standard Part D deductible is increasing to $700, and the annual Part D out-of-pocket cap is rising to $2,400.
Before the deadline, review your Annual Notice of Change, check your medications and providers, and compare your options using the Medicare Plan Finder.
If you’re having trouble affording coverage, look into Extra Help and Medicare Savings Programs. You may qualify for assistance that lowers your premiums, prescription drug costs, or other Medicare expenses.
And remember, you don’t have to sort through everything alone. Your local SHIP program can help you understand your choices for free.
A little time spent reviewing your coverage now could help you avoid unexpected costs when your 2027 benefits begin.
