The Centers for Medicare & Medicaid Services (CMS) and private insurance carriers make changes to Medicare and Medicare plans every year. This coming year won’t be different. Though not all information is in for the next plan year, you can expect some differences in 2027.
Understanding what will impact your Medicare Advantage or stand-alone Part D plans is difficult for most consumers. Read on to find out which Medicare changes in 2027 might be pertinent to you.
Medicare Advantage plans aren’t immune to the rising costs of healthcare. This year CMS is increasing payments they provide to Medicare Advantage carriers to administer these plans by 2.48%. This increase was lower than insurers had anticipated, though, which typically means costs could be passed down to beneficiaries. You may expect to see higher rates for things like your Part B premium and deductible.
Part B monthly premium is $202.90 in 2026 and estimated to be about ~$221.00 in 2027. This increase is expected to be followed by larger ones in 2028 and beyond, starting with a projected jump to $224.50 in 2028.
Part B annual deductible is $283 in 2026 and is estimated to increase to $310 in 2027.
Income-Related Monthly Adjustment Amount (IRMAA) in 2026 ranges from $81.20 to $487 in 2026 depending upon your income. In 2027, the range is anticipated to be between $83.70 and $502.60. This is the monthly adjustment added to Part B premiums that high earners pay above the standard Part B premium. What you pay is based on a scale according to your income level.
The rising cost of healthcare services and specialty medications, combined with lower-than-expected federal reimbursements, means carriers must make up those costs somewhere. Medicare Advantage plans aren’t being discontinued, but you may see some changes to your plan in 2027 that could increase your costs. In 2027, it’s expected that some insurers could:
Details on Medicare Advantage plans will be available on October 1, so you can start comparing plans then. Open enrollment runs October 15 to December 7, and your new plan will go into effect on January 1.
Medicare Part D changes in 2027 could impact how much you pay for your prescription drugs and if your medications are still covered by your plan. If you’re new to Medicare, Part D plans can be daunting. Here’s what to expect in 2027.
The Part D basics – Each year your Part D plan will automatically renew if you do nothing during open enrollment. But you’ll want to look at the Annual Notice of Change you receive in September, because it highlights your premium, deductible, and copay changes for 2027. It will also let you know if your prescriptions will still be covered under your plan for 2027. You can change Part D plans each year with no penalty during open enrollment (see dates below) or if you’re eligible for a special enrollment period. You may be eligible if you:
There are expected to be some cost increases for Part D plans for 2027. Plan carriers manage their rising costs by putting more spending on the shoulders of the consumer. Check your ANOC to make sure your medications are still covered under your plan, that their cost won’t increase because they are in a higher tier, and that their coinsurance, if any, still fits in your budget.
The Part D deductible – Your deductible is the amount you pay for prescription drugs before your Part D plan kicks in. In 2026, the deductible was $615; in 2027, it’s expected to be about $700.
The out-of-Pocket maximum – Medicare Part D plans implemented an annual out-of-pocket maximum in 2025, which reduced spending for many beneficiaries, especially those with chronic conditions or who need specialty medications. Like many other costs, the maximum spending cap has gone up each year. The maximum out-of-pocket spending for 2026 was set at $2,100. For 2027, it will be $2,400.
CMS has helped drop the price of some medications through the Medicare Drug Price Negotiation Program, where the department negotiates directly with drug manufacturers to lower costs. In 2026, the price of 10 name-brand medications was lowered for Medicare beneficiaries through the program. In 2027, another 15 will drop from 38% to 85%. These drugs are:
Important note: GLP-1s have only been negotiated for Medicare beneficiaries to treat diabetes, heart disease, and heart disease with obesity. If you want to use a GLP-1 for weight loss only, CMS has negotiated rates for drugs including Wegovy and Zepbound to $50 a month through its Medicare GLP-1 Bridge pilot program through the end of 2027.
Medicare Open Enrollment Period for 2027 is October 15 through December 7. During that time, you can enroll in or change your Medicare Advantage and Part D plans.
Initial Enrollment Period is your time to enroll in Medicare if you are turning 65. This spans three months before you turn 65, your birthday month, and three months after.
General Enrollment Period is the time to enroll if you miss either of the initial enrollment dates to enroll in Part A or Part B. It lasts from January 1 through March 31. If you wait until this time to enroll, you may be subject to late enrollment penalties.
Medicare Advantage Open Enrollment Period is the time to make a change if you’re enrolled in a Medicare Advantage plan and find it doesn’t fit your needs. You can switch to another Medicare Advantage plan or back to Original Medicare during this time.
Planning ahead for your health insurance needs can be difficult when you don’t have complete information about changes to Medicare Advantage plans in 2027. Your health plan will have a big impact on your wellness and your budget. Now is not the time to leave your healthcare to chance. Make sure you have the best possible plan for your specific needs by reaching out to SmartMatch, where a licensed advisor can walk you through how the Medicare Advantage changes for 2027 will affect you.
Enrollment in a plan may be limited to certain times of the year unless you qualify for a Special Enrollment Period or you are in your Medicare Initial Enrollment Period.
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