Every fall, Medicare’s Open Enrollment gives you a window to review your prescription drug coverage and make sure you’re still in the right plan for the year ahead. For 2027, that review matters more than usual — there are real changes coming to Part D, and most of them work in your favor. Here’s a plain-English rundown of what’s new, plus a step-by-step look at how to compare your options on Medicare.gov.
Open Enrollment for 2027 coverage runs October 15 through December 7, 2026.
The big change: a lower cap on what you’ll pay
The most important thing to know is that your out-of-pocket costs for covered prescriptions are capped. For 2027, once you’ve spent $2,400 out of pocket on covered drugs, you pay $0 for the rest of the calendar year. That’s up slightly from the $2,100 cap in 2026, but it’s still a night-and-day improvement over the old system, where there was no ceiling at all on what you could spend.
For anyone taking expensive medications, this cap is the headline. It means a predictable worst-case number for the year — and no more surprise bills that climb into the thousands.
What else is new for 2027
A few other figures are worth having on your radar as you review your plan:
The standard annual deductible rises to a maximum of $700 (up from $615 in 2026). Keep in mind this is the ceiling — many plans charge less, and some have no deductible at all. The old “donut hole,” or coverage gap, remains gone, so you won’t fall into that confusing middle stage of coverage. And the national base beneficiary premium for 2027 is $41.33 per month, though what you actually pay depends entirely on the specific plan you choose.
One feature I want more of my clients to know about is the Medicare Prescription Payment Plan. Every Part D plan is now required to offer it, and it lets you spread your yearly drug costs into smooth monthly payments instead of getting hit with one big bill at the pharmacy counter. If a large refill early in the year has ever caught you off guard, this option is worth a closer look.
Why you should compare plans every single year
Here’s the part people skip — and it’s the one that costs them the most. Even if you love your current plan, it can change underneath you every year. Insurers routinely adjust their formularies (the list of drugs they cover), their pharmacy networks, and their pricing from one year to the next. A plan that was the perfect fit for your medications in 2026 might not be the best value in 2027.
That’s why I always tell clients: don’t auto-renew without checking. The few minutes it takes to compare can save you real money over the course of a year.
How to compare Part D plans on Medicare.gov
The good news is that Medicare gives you a free, powerful tool to do exactly this. Here’s how to use the Medicare Plan Finder:
- Go to Medicare.gov and open the Plan Finder. You can log in to your secure account or continue as a guest.
- Enter your ZIP code so the tool shows the plans available in our area.
- Type in your exact prescriptions and dosages. This is the single most important step — and the one most people skip. The results are only as accurate as the drug list you enter.
- Add your preferred pharmacy. Prices can vary quite a bit between pharmacies, and many plans offer better rates at “preferred” locations.
- Sort by total estimated yearly cost. This is the number that matters — it combines the premium, deductible, and your actual drug costs. A low monthly premium can hide high drug costs, so always look at the full-year total, not just the premium.
- Check that all your drugs are covered and review each plan’s star rating before you enroll.
When you’re done, you can enroll in the plan you choose right there on the site.
One more tip: read your Annual Notice of Change
Sometime in September, your current plan mails you an Annual Notice of Change (ANOC). It’s easy to toss aside, but it spells out exactly what’s changing with your plan for 2027 — premiums, drug coverage, and costs. Give it a quick read before you make any decisions.
Watch the full walkthrough
I recorded a short video that walks you through the 2027 changes and shows you, click by click, how to compare plans on Medicare.gov. If you’re more comfortable following along visually, this is the easiest way to see exactly how it works.
Medicare doesn’t have to be complicated — you just need someone in your corner who keeps up with the changes so you don’t have to. Give us a call at (732) 747-0411 or reach out through our contact page.
Stark Associates Insurance Agency — Professionalism. Expertise. Dedication. Service.
The figures above reflect the released 2027 Medicare Part D standard benefit parameters. Individual plan costs, deductibles, and covered drugs vary by plan. This article is for general educational purposes and is not a substitute for personalized advice about your specific situation.
