Medicare open enrollment starts Oct. 15 as drug plan choices shrink
Medicare's yearly open enrollment runs Oct. 15 to Dec. 7, and 2027 plan prices are now out. CMS projects the average Medicare Advantage premium will fall to $12 a month. But a KFF review finds about 13% fewer stand-alone drug plans and no $0-premium option for most people who buy one.
Medicare open enrollment begins Oct. 15 and runs through Dec. 7. Changes take effect Jan. 1, 2027, and during the window people can switch Medicare Advantage plans, move between Original Medicare and Advantage, or pick a new stand-alone Part D drug plan.
The government's top-line numbers look calm, at least on average. CMS projects the average Medicare Advantage premium will fall from $14.37 a month this year to $12.00 in 2027, a 16.5% drop. The average stand-alone Part D premium is projected to rise less than $1, from $35.09 to $36. CMS says about eight in 10 Advantage members can keep their plan at the same or a lower premium.
The details underneath those averages are bumpier. KFF's Juliette Cubanski, using CMS data, found the number of stand-alone Part D plans will fall about 13%, from 360 to 312, AARP reported. She also found no $0-premium stand-alone plans in 2027 for people outside the Extra Help program. In 2026, 28% of those enrollees had a $0 plan. "They will all face higher premiums in 2027," she said.
Choices are thinning a bit. KFF counts an average of 35 Advantage plans available per person next year, down from 39, the Medicare Rights Center noted.
Here's the backstory: the 2022 Inflation Reduction Act capped what people pay out of pocket for drugs each year in Part D. The cap was $2,000 in 2025, is $2,100 this year and rises to $2,400 in 2027, AARP says. A temporary federal program that paid stand-alone plans to hold premiums down is ending. CMS chief Dr. Mehmet Oz has called it an insurance industry bailout. It paid plans $9.8 billion, AARP reported.
What to do: Compare plans on Medicare.gov's Plan Finder, or call 1-800-MEDICARE, which is open 24 hours a day. Free one-on-one help is available from your State Health Insurance Assistance Program at shiphelp.org. Look past the premium to each plan's drug list, copays and network of doctors and pharmacies. The 2027 Part B premium has not been announced yet.
What we know: Open enrollment runs Oct. 15 to Dec. 7, and CMS projects lower average Advantage premiums.
What we don't: The 2027 Part B premium, and how plans changed drug lists and copays.
Where outlets agree CMS, AARP and the Medicare Rights Center all report average Medicare Advantage premiums falling from $14.37 to $12.00 and stand-alone Part D premiums rising from $35.09 to $36 a month.
Where they differ CMS describes broad pricing stability in Part D, while KFF's analysis cited by AARP finds fewer stand-alone plans and no $0-premium option for most enrollees in 2027.