Medicare Part D average monthly premiums projected to rise 50% in 2027

KFF analysis projects that the average monthly premium for Medicare Part D stand-alone prescription drug plans will rise to $51 in 2027, a 50% increase from $34 in 2026 if current enrollees do not switch to lower-cost plans during the open enrollment period ending December 7, according to KFF.

Medicare Part D offers voluntary outpatient prescription drug coverage through private plans, including stand-alone prescription drug plans (PDPs) and Medicare Advantage plans with drug coverage (MA-PDs). Beneficiaries have multiple plan options, with an average of 28 MA-PDs and 9 PDPs available, each with different costs.

The projected $51 average premium for stand-alone plans is more than five times higher than the average $9 monthly premium for Medicare Advantage plans that include Part D coverage, KFF reported.

As the open enrollment period for 2027 begins, Medicare beneficiaries are encouraged to review and compare their prescription drug coverage options to potentially reduce their costs by switching to lower-premium plans.

This analysis provides insight into trends in Medicare Part D premiums and cost sharing, helping beneficiaries make informed decisions about their coverage for the coming year.