2027 Medicare Annual Enrollment Period (AEP): October 15 – December 7, 2026
If you have Medicare Advantage or a Medicare Prescription Drug Plan, the 2027 Annual Enrollment Period is an important opportunity to review your coverage.
Medicare plans can change their premiums, deductibles, copayments, prescription drug formularies, provider networks and extra benefits from year to year. In addition, several nationwide Medicare changes will affect beneficiaries in 2027.
The good news? You don’t necessarily need to change your plan.
The important thing is to review your current coverage and make sure it still fits your healthcare needs for 2027.
Here are the most important Medicare changes to know about for 2027.
The Medicare Annual Enrollment Period, often called AEP, runs from:
October 15 through December 7, 2026
During AEP, Medicare beneficiaries can generally:
Changes made during AEP generally become effective January 1, 2027.
One of the most noticeable changes for 2027 is the increase in the standard Medicare Part D deductible.
For 2027:
Standard Part D deductible: $700
That’s an increase from $615 in 2026.
However, $700 is the maximum standard deductible allowed under the defined standard Part D benefit. Individual Medicare Advantage Prescription Drug plans and standalone Part D plans may have different deductibles, including plans with $0 deductibles.
This means beneficiaries should not assume that their 2027 prescription costs will be the same as they were in 2026.
Medicare’s prescription drug benefit continues to provide an annual limit on what beneficiaries pay out of pocket for covered Part D medications.
For 2027, the annual Part D out-of-pocket threshold is:
$2,400
That’s up from $2,100 in 2026.
Once a beneficiary reaches the applicable annual out-of-pocket threshold for covered Part D drugs, they generally pay $0 for covered Part D drugs for the remainder of the year.
This is an important protection for people who take expensive medications.
If you take several brand-name or specialty medications, your prescription drug costs could look very different in 2027 than they did in 2026.
That’s why reviewing your prescriptions during AEP is so important.
Some Medicare beneficiaries remember the Part D coverage gap, commonly called the “donut hole.”
That coverage gap was eliminated beginning in 2025.
For 2027, CMS is formally codifying the redesigned Part D benefit, including elimination of the coverage gap phase and the annual out-of-pocket protection.
The Part D benefit now operates under a much simpler structure:
Beneficiaries no longer enter a separate coverage-gap phase.
This is an important point because there is still a lot of outdated information online.
The Medicare Part D out-of-pocket cap was $2,000 in 2025.
It increased to $2,100 in 2026.
For 2027, CMS has finalized the amount at:
Therefore, beneficiaries should not rely on websites or advertisements that continue to state that the Part D maximum is $2,000.
There is not one single Medicare Advantage plan that applies to everyone.
Medicare Advantage plans are offered by private insurance companies, and each plan can have different:
This is one of the biggest reasons beneficiaries should review their plan every year.
A plan that was a great fit in 2026 may not necessarily be the best fit in 2027.
Many Medicare Advantage plans offer additional benefits beyond Original Medicare.
For 2027, CMS is strengthening rules surrounding certain Special Supplemental Benefits for the Chronically Ill (SSBCI).
Plans will have additional requirements concerning eligibility and transparency, including publicly posting their plan-developed eligibility criteria for certain SSBCI benefits.
CMS is also clarifying how Medicare Advantage supplemental-benefit debit cards must operate.
Debit cards used for supplemental benefits must be electronically connected to covered items and services through a real-time identification process, and cards must be limited to the specific plan year.
If your Medicare Advantage plan provides benefits such as:
you should carefully review the 2027 rules and your plan’s specific benefit requirements.
Don’t assume that a benefit you received in 2026 will automatically be available in exactly the same way in 2027.
Medicare Advantage and Part D plans receive Medicare Star Ratings, which help beneficiaries compare the quality of plans.
CMS is changing the Star Ratings system for 2027 to place more emphasis on meaningful clinical outcomes, patient experience and quality of care.
CMS is removing 11 measures that primarily focused on administrative processes or areas where there was little meaningful difference between plans.
CMS is also adding a new Part C Depression Screening and Follow-Up measure to address behavioral-health gaps.
One important clarification:
The new depression measure begins with the 2027 measurement year and affects the 2029 Star Ratings, so it does not mean beneficiaries will immediately see a new rating based on that measure during the 2027 AEP.
CMS is also changing how certain quality incentives work.
For the 2027 Star Ratings, CMS will not implement the Excellent Health Outcomes for All reward, previously known as the Health Equity Index reward.
Instead, CMS will continue the historical reward factor that encourages consistently high performance across the plan’s overall membership.
For consumers, the practical takeaway is simple:
Don’t look only at a plan’s premium or extra benefits. Look at its overall quality and how well it serves its members.
Medicare Advantage plans have an annual maximum out-of-pocket limit for covered Part A and Part B services.
CMS has established higher maximum limits for 2027, although individual plans may choose limits below the maximum allowed.
For 2027, the statutory maximum limits include:
These are maximum permitted limits, not necessarily what every Medicare Advantage plan will charge.
Many plans will continue to have lower limits.
This is an important number to compare when evaluating your 2027 Medicare Advantage options.
CMS announced that the 2027 Part D National Average Monthly Bid Amount is $296.05, while the Part D base beneficiary premium is $41.33.
It’s important to understand that the $41.33 figure is not the amount every person will pay for Part D.
Actual premiums vary by plan and location.
Some Medicare Advantage plans include prescription drug coverage with a $0 additional premium, while standalone Part D plans may charge different monthly premiums.
Your income may also affect what you pay through the Medicare Part D Income-Related Monthly Adjustment Amount (IRMAA).
One of the biggest mistakes Medicare beneficiaries can make during AEP is choosing a plan based solely on the monthly premium.
A plan with a $0 premium isn’t necessarily the least expensive plan for you.
The better question is:
When reviewing a Part D or Medicare Advantage plan, check:
A small difference in monthly premiums can be insignificant compared with a large difference in annual prescription costs.
Another major consideration for 2027 is the provider network.
Medicare Advantage plans can change their networks from year to year.
Before choosing a plan, verify that your:
are still participating in the plan’s 2027 network.
Don’t assume that because your doctor accepted your plan in 2026, they will automatically remain in-network for 2027.
If you currently have Medicare Advantage or a Medicare Part D plan, your plan should send you an Annual Notice of Change (ANOC).
The ANOC explains changes that will take effect in January, including changes to:
Medicare says the ANOC is generally sent in September.
Your ANOC is one of the most important documents to review before AEP.
This is extremely important.
There is no single “2027 Medicare Advantage plan.”
Medicare Advantage and Part D plans are offered by private insurance companies, and benefits can vary dramatically by:
For example, two people living in the same county could have completely different Medicare Advantage plans available to them.
That’s why a Medicare review should be based on your specific situation, rather than a generic list of “best Medicare plans.”
Don’t wait until December.
Start preparing now.
Look for changes to your current plan’s:
Include the:
Make sure your preferred doctors and specialists are included in the 2027 network.
Don’t focus only on the monthly premium.
Consider the potential combination of:
Premium + medical costs + prescription costs + maximum out-of-pocket exposure
Your current plan may still be your best option.
But you won’t know that until you compare it with the plans available for 2027.
One of the biggest Medicare mistakes is assuming:
“I’ve had this plan for years, so I’ll just keep it.”
Medicare plans can change every year.
Your medications can change.
Your doctors can change.
Your health needs can change.
And the cost of your coverage can change.
The 2027 Medicare Annual Enrollment Period is your opportunity to make sure your coverage still makes sense for you.
October 15 – December 7, 2026
That’s the 2027 Medicare Annual Enrollment Period.
Any changes you make during AEP generally become effective January 1, 2027.
Medicare can be complicated, especially when plan benefits, prescription coverage, networks and costs change from one year to the next.
A licensed Medicare agent can help you compare available options and determine whether your current coverage still meets your needs.
At Next Level Benefits, we help individuals review their Medicare options so they can make an informed decision about their coverage for the coming year.
Don’t wait until the last week of AEP.
Start your 2027 Medicare review early and make sure you understand your coverage before January 1.
Next Level Benefits
Medicare • Medicare Advantage • Prescription Drug Plans • Medicare Supplements
This article is for educational purposes only and is not a complete description of Medicare benefits or available plans. Plan availability, premiums, benefits, provider networks and prescription drug coverage vary by location and plan. Information is based on Medicare and CMS guidance available as of September 2026 and may be updated as additional official information becomes available.
