If you’ve picked up a prescription lately, you may have noticed the price felt… different. That’s nothing compared to what’s coming. Medicare has already finalized several changes to Part D prescription drug coverage for 2027, and as a local Medicare specialist here in Hanover, I want you to know about them now—while you still have time to do something about them, not in January when the bill arrives.
The Numbers Are Going Up
The good news: the annual cap on what you’ll pay out of pocket for covered prescriptions is here to stay. That protection, which replaced the old “donut hole,” isn’t going anywhere. The less-good news is that the cap itself is rising. For 2026, it sits at $2,100. Beginning Jan. 1, 2027, it increases to $2,400. Once you reach that amount—through deductibles, copays, and coinsurance combined—your plan covers 100% of your covered drugs for the rest of the year. That safety net is real, but it will cost $300 more to reach.
The deductible is climbing, too—and by a bigger jump than usual. In 2026, the standard Part D deductible was $615. For 2027, it rises to $700—an $85 increase, compared with the $25 increase the year before. If your plan charges the standard deductible, that’s more money out of your pocket before coverage begins.
Why Premiums May Jump More Than You Expect
Here’s the part your neighbors may not have heard yet. Over the past two years, a federal program helped keep Part D premiums artificially low and stable. That program is winding down, and insurance regulators expect premiums to rise more sharply in 2027 as plans return to normal market pricing. Translation: the $12-per-month plan you’re used to may no longer exist—or it may come with a very different price tag when your Annual Notice of Changes arrives this fall.
Some Good News
It’s not all bad. A few things are staying the same or getting better:
- Insulin remains capped at $35 per month for covered products.
- Recommended vaccines remain free, with no deductible or copay.
- A second wave of Medicare-negotiated drug prices takes effect Jan. 1, 2027. This round includes Ozempic, Wegovy and Rybelsus, with estimated savings of about 44% off list price. If you or a loved one takes one of these medications, this could make a meaningful difference.
Why This Matters
Here’s the part most articles skip: these are national numbers, but your actual costs depend entirely on your specific plan. Two neighbors on the same block, taking the same medications, can pay very different amounts based on their plan’s deductible, drug tiers and pharmacy network. I’ve seen it happen here in Hanover many times, and with premiums expected to shift more than usual, the plan that worked well for you in 2026 may not be your best option for 2027.
Don’t Guess. Get Answers,
The Annual Enrollment Period runs Oct. 15 through Dec. 7, 2026, and it’s your opportunity to make changes for coverage that begins Jan. 1, 2027. After that, you’re generally locked into your plan for the year.
With premiums expected to change more than they have in recent years and the deductible seeing its biggest jump in years, this isn’t the time to automatically renew your coverage. Pull out your medication list, and let’s sit down—at no cost or obligation—to review your options and see what these changes could mean for your wallet in 2027.
If you’d like to talk, call 717-524-0300 or stop by my office on the third floor of the Eichelberger Building. I’m happy to walk you through your options and help make sure you’re not paying more than you need to.
2026 vs. 2027: Medicare Part D at a Glance
|
2026 |
2027 |
| Out-of-pocket cap: $2,100 | Out-of-pocket cap: $2,400 |
| Standard deductible: $615 | Standard deductible: $700 |
| Premiums stabilized by a temporary federal program | Premiums may increase as the stabilization program winds down |
| Insulin capped at $35/month | Insulin remains capped at $35/month |
| Recommended vaccines covered at no cost | Recommended vaccines remain covered at no cost |
| First round of Medicare-negotiated drug prices takes effect | Second round takes effect Jan. 1, adding Ozempic, Wegovy and Rybelsus |
Bottom Line: Even if your medications haven’t changed, your Part D costs could. Reviewing your plan during Annual Enrollment (Oct. 15–Dec. 7, 2026) can help ensure you’re getting the coverage and value that best fits your needs for 2027.
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