News & Trending Insurance News

7 Medicare Changes in 2027 Everyone Over 65 Should Know About

Here's what to know about seven big changes coming to Medicare in 2027.

By Paige Cerulli , Edited by Laura Hohenstein

Updated Nov. 11, 2026

Add Us On Google

Millions of Americans rely on Medicare as part of their retirement plan, and the insurance coverage helps ensure that retirees are able to access the healthcare they need. But several changes are coming to the Medicare program in 2027, and those changes might affect everything from what retirees pay for their policies to major shifts in plan availability. Since Medicare Open Enrollment occurs from October 15 through December 7, it's important to be aware of these changes now so you're able to make any necessary adjustments to your coverage.

Here are some of the Medicare changes coming in 2027 and what you need to know about how they might affect your coverage.

Get a protection plan on all your appliances

Did you know if your air conditioner stops working, your homeowner’s insurance won’t cover it? Same with plumbing, electrical issues, appliances, and more.

A home warranty from Choice Home Warranty could pick up the slack where insurance falls short.

For a limited time, you can get your first month free with a Single Payment home warranty plan.

Get a free quote

Medicare Part D deductible and out-of-pocket cap changes

The changes to Medicare Part D may hit retirees the hardest. The Part D standard deductible is forecast to increase from $615 to $700, an increase of 14%. It's possible that some plans may offer a lower deductible. Additionally, the Part D out-of-pocket cap is increasing by $300 to $2,400 in 2027.

Shopping for cheaper auto insurance? Enter your zip code here to get started.

Medicare Part D premium changes

The base beneficiary premium is also increasing from $38.99 to $41.33 per month, an increase of 6%. That base premium is used to calculate the premiums of different Part D plans, and it doesn't mean that every enrollee pays $41.33. Since premiums vary by plan, it's important to check the specifics of any plan you consider.

The Trump administration is ending the Medicare Part D Premium Stabilization Demonstration on January 1, 2027, a year earlier than its planned ending. The program helps subsidize Part D premiums for consumers, and it limits the amounts that insurers could increase plans each year.

As the program ends, it's possible that Part D premiums may increase. An analysis by the American Action Forum found that average monthly premiums for standalone PDPs may increase by about 44% in 2027.

Changes to the Medicare Advantage premiums

The Centers for Medicare & Medicaid Services (CMS) reports that the weighted average Medicare Advantage premium should fall from $14.37 in 2026 to $12 in 2027, a 16.5% drop. Amid that premium drop, CMS states that supplemental benefits, like dental, hearing, and vision, should remain stable in 2027.

According to CMS Administrator Dr. Mehmet Oz, those lower premiums result from the government's work to slash "handouts to big insurance companies."

If you’re over 50, take advantage of massive discounts and financial resources

Over 50? Join AARP today— because if you’re not a member you could be missing out on huge perks. When you start your membership today, you can get discounts on things like travel, meal deliveries, eyeglasses, prescriptions that aren’t covered by insurance and more.

Start your membership by creating an account here and filling in all of the information (Do not skip this step!) Doing so will allow you to take up to 25% off your AARP membership, making it just $15 the first year with auto-renewal.

Changes in Medicare Advantage plan availability

Though Medicare Advantage premiums may be declining, plan availability is also dropping in 2027. Humana, UnitedHealthcare, and other private insurers are cutting Medicare Advantage benefits and canceling some plans. Combined, Humana and UnitedHealthcare's plan cancellations may impact approximately 1 million seniors, leaving them to find new plans during Open Enrollment.

According to a KFF analysis, Humana is withdrawing Medicare Advantage prescription drug plans from 62 counties and entering four new ones. UnitedHealthcare is withdrawing from 228 counties and entering nine new ones.

Changes to Medicare plan benefits

Many insurers are cutting Medicare plan benefits. A Leerink Partners Medicare plan analysis found that UnitedHealthcare's dental cuts affect nearly 70% of the insurer's members. Since plans vary by state, it's important to review the information for your specific plans to see how such changes might impact you.

Changes are also coming to the Medicare Part B giveback, a feature on some plans that reduces the Part B premium enrollees pay. The Leerink analysis found that Humana reduced or eliminated the Part B giveback for 62% of its enrollees, which could increase premium costs.

The Medicare Part B premium changes

Medicare Part B premiums are also anticipated to increase in 2027. The Medicare Board of Trustees' 2026 annual report projected that the standard monthly premium for Part B may increase by $6.60 to $209.50 per month in 2027. That premium is deducted from Social Security benefits, so it could eat into the cost-of-living adjustment (COLA) increase that beneficiaries see in 2027.

Retirement News: Almost 80% of Americans fear a retirement age increase — here’s the real reason why

Changes to IRMAA thresholds

The Income-Related Monthly Adjustment Amount (IRMAA) thresholds also change. IRMAA applies to Traditional Medicare and Medicare Advantage plans, and higher-income beneficiaries whose income exceeds the thresholds must pay a higher share of their premiums for these coverages.

The Social Security Administration (SSA) hasn't yet announced the IRMAA brackets for 2027. The income from your 2025 federal tax return is used to calculate the IRMAA you'll pay in 2027.

Bottom line

With so many changes coming to Medicare, it's important to review changes to your plan and be prepared to shop for another plan if needed. To start, check that your doctors and hospitals are covered by any plan you're considering. Then, verify each of your current prescriptions' formulary placement to determine how much you might be paying for prescriptions. Different plans may have different formulary placements for prescriptions, so it might make sense to comparison shop some plans if you have substantial medication costs.

If your Medicare Advantage plan is ending on December 31, 2026, you qualify for a guaranteed-issue window allowing you to buy some Medigap policies if you decide to return to Original Medicare. Under this law, you may apply during the 60 days before your Medicare Advantage coverage ends, or up to 63 days afterward. Taking a proactive approach to finding the coverage that's best for you may be an important step that could help you save money in retirement.

More from FinanceBuzz:

Retire like the rich: 14 ways you could build wealth in your 50s.

Find out if you could pay less for car insurance in just a few clicks.

Make these 7 savvy moves when you have $1,000 in the bank.

14 moves seniors could benefit from but often forget about.