The Average Medicare Drug Plan Could Cost 50% More in January. You Have Until December 7 to Dodge It.

If you have a stand-alone Medicare drug plan and you're planning to just let it roll over into 2027, read this first.

KFF, the health research group, crunched the 2027 plan data. Its finding: the average monthly premium for stand-alone Part D drug plans goes from $34 to $51 in 2027, a 50% jump, if people keep the plan they have now. And there are no $0-premium stand-alone drug plans available for 2027. More than 4 million people in $0 plans today will pay something next year if they don't switch.

Medicare open enrollment runs October 15 to December 7. Changes you make take effect January 1. Miss it, and your choices shrink. Unless you qualify for a special situation, people with stand-alone drug plans generally wait a year. (Medicare Advantage members get one more switch from January 1 to March 31.)

What changed for 2027

• Fewer choices. The average person has 9 stand-alone drug plans to pick from, down from 11, and 28 Medicare Advantage plans with drug coverage, down from 32.
• A temporary subsidy ended. A federal program that helped drug plans hold down premiums expired after 2026. Insurers set 2027 prices without it.
• Big gaps between plans. KFF found that if people stay put, more than half of stand-alone plan members pay under $20 a month, but nearly 30% (about 3.9 million people) pay $100 a month or more.
• Higher deductible ceiling. The most a drug plan can charge as a deductible rises to $700 in 2027, up from $615.

The good news

• Your drug costs are still capped. Once you've paid $2,400 out of pocket for covered drugs in 2027 (up from $2,100), you pay $0 for covered drugs the rest of the year.
• New GLP-1 option. Medicare's new GLP-1 Bridge lets some people with Part D get certain weight-loss drugs for a $50 copay for a one-month supply, if they meet the requirements.
• Cheap plans still exist. KFF notes that relatively low-premium plans are still out there. You just have to look.

Your 6-step December 7 checklist

1. Find your Annual Notice of Change. Your plan mailed it in September. It lists what's changing: premium, deductible, which drugs are covered and at what price.
2. Write down every prescription, with the dose and how often you take it.
3. Run Medicare's Plan Finder at Medicare.gov with that list. Sort by total yearly cost (premium plus drug costs), not by premium alone.
4. Check your doctors and pharmacy. If you're in Medicare Advantage, make sure your doctors and hospital are still in the network for 2027. Some insurers left counties this year.
5. Think twice before leaving Medicare Advantage. Going back to Original Medicare is allowed, but a Medigap supplement isn't always guaranteed and may require health questions. Ask before you switch.
6. Get unbiased help. New Jersey's SHIP program offers no-cost, no-sales Medicare counseling: 1-800-792-8820.

What we don't know yet

The 2027 Part B premium hasn't been announced. The Medicare trustees projected $209.50 a month, up from $202.90, but that's an estimate. It usually comes out in November, and it comes straight out of your Social Security check. We'll update our 2027 Social Security raise story when it does.

Quick answers

When does Medicare open enrollment end? December 7, 2026. Changes start January 1, 2027.

Are there $0 Medicare drug plans in 2027? Not stand-alone ones. KFF found no $0-premium stand-alone Part D plans for 2027. Many Medicare Advantage plans still include drug coverage at low or no added premium.

What's the Part D out-of-pocket cap for 2027? $2,400 for covered drugs, up from $2,100 in 2026.

Do I have to do anything if I like my plan? No, it usually renews automatically. But check the price and drug list first, because "the same plan" may cost a lot more.

Want a second set of eyes on your plan? Join our Retirement Webinar: Setting the Stage for 2027, or talk with an advisor.

Sources: KFF, Medicare Part D Premiums and Cost Sharing in 2027 (Oct. 30, 2026), PDP availability and premiums for 2027 (Oct. 2, 2026) and Medicare Advantage plan options for 2027 (Oct. 1, 2026); Medicare.gov, How much does Medicare drug coverage cost?, Open Enrollment and Your Medicare in 2027; 2026 Medicare Trustees Report (Part B projection); NJ SHIP. Checked November 2, 2026. This is general information, not insurance advice.