Medicare open enrollment starts Thursday (October 15) and runs through December 7, allowing millions of Americans to review or change their coverage for 2027. Enrollees can choose between traditional Medicare and Medicare Advantage plans, as well as prescription drug coverage. Changes for next year include a higher Part D out-of-pocket cap and deductible, along with the end of temporary federal premium subsidies.

The maximum deductible for prescription drugs will rise to $700, a $75 increase from 2026, and the out-of-pocket spending limit for Part D coverage will increase to $2,400, up from $2,100 in 2026. The federal IRA premium subsidies that reduced Medicare Part D premiums will end, potentially leading to higher premiums for enrollees. Starting in 2027, Medicare-negotiated prices will take effect for 15 prescription drugs, including Ozempic and Wegovy, as reported by the Atlanta Journal-Constitution.

Medicare Advantage plans will see a 2.48% increase in payments from Medicare in 2027, which could affect plan offerings, including extra benefits and provider networks. Some insurers might reduce benefits or increase copays, and some may limit enrollment in certain areas. According to the Medicare Rights Center, beneficiaries should carefully review their options during open enrollment.

Telehealth coverage will continue through December 31, 2027, allowing beneficiaries to use virtual visits to connect with their doctors from home. This extension is part of the Consolidated Appropriations Act of 2026.

The Centers for Medicare & Medicaid Services (CMS) has not yet announced all official details for 2027, but early forecasts suggest changes in premiums and deductibles. The Part B premium is projected to increase by $6.60 to $209.50, and the Part B deductible will rise to a range between $292 and $310, as noted by Yahoo Finance.

Beneficiaries are encouraged to compare plans carefully, considering factors like drug coverage, provider networks, and total costs. The Medicare Plan Finder website is a useful tool for comparing Medicare Advantage and Part D plans, including premiums, costs, and benefits.