Medicare Annual Changes: What Updates Each Year
Medicare costs, plan benefits, and coverage rules change every year. Learn what's new for 2026 and how to review and adjust your coverage during the annual enrollment windows.
What Changes Each Year in Medicare?
Medicare isn't static. Every year, the Centers for Medicare & Medicaid Services (CMS) adjusts costs, updates coverage rules, and allows insurance companies to modify their plan offerings. These changes can affect your premiums, deductibles, copays, drug formularies, and provider networks.
That's why it's important to review your coverage annually — even if you're satisfied with your current plan. A plan that worked well this year may have significant changes next year.
Premiums & Deductibles
Part A, Part B, Part D, and plan-specific costs are updated annually by CMS
Drug Formularies
Part D and MA-PD plans can change which drugs are covered and at what tier
Plan Benefits
Medicare Advantage plans may add, remove, or modify supplemental benefits
Provider Networks
MA plan networks can change — your doctor may no longer be in-network
2026 Medicare Cost Updates
Here are the key Medicare cost changes for 2026, as announced by CMS:
| Cost Item | 2025 | 2026 | Change |
|---|---|---|---|
| Part B Monthly Premium | $202.90 | $202.90 | No change |
| Part B Annual Deductible | $283 | $283 | No change |
| Part A Hospital Deductible | $1,736 | $1,736 | No change |
| Part A Coinsurance (Days 61–90) | $419/day | $434/day | +$15/day |
| Part D Out-of-Pocket Cap | $2,000 | $2,000 | New cap |
| Part A Premium (if applicable) | $565/mo | $565/mo | No change |
Annual Enrollment Period (AEP)
The Annual Enrollment Period (AEP) is the main window each year when all Medicare beneficiaries can make changes to their coverage. It runs from October 15 through December 7, with changes taking effect January 1.
October 15 – December 7
- Switch from Original Medicare to Medicare Advantage
- Switch from Medicare Advantage to Original Medicare
- Switch between Medicare Advantage plans
- Join, switch, or drop a Part D drug plan
- Changes take effect January 1
- No health questions or medical underwriting
Medicare Advantage Open Enrollment Period (MA OEP)
The MA OEP runs from January 1 through March 31 each year. This is a secondary enrollment window available only to people already enrolled in a Medicare Advantage plan.
During the MA OEP, You Can:
Switch to a different Medicare Advantage plan
Including plans with or without drug coverage
Drop your MA plan and return to Original Medicare
You can also enroll in a standalone Part D plan
Your Annual Notice of Change (ANOC)
If you're enrolled in a Medicare Advantage or Part D plan, your insurance company is required to send you an Annual Notice of Change (ANOC) by September 30 each year. This document outlines all changes to your plan for the upcoming year.
What to Look for in Your ANOC:
Premium Changes
Monthly cost increases or decreases
Deductible Changes
New annual deductible amounts
Copay/coinsurance Changes
Updated cost-sharing for services
Formulary Changes
Drugs added, removed, or moved to different tiers
Network Changes
Providers or facilities added or removed
Benefit Changes
New or discontinued supplemental benefits
What You Can (and Can't) Change
| Action | AEP (Oct–Dec) | MA OEP (Jan–Mar) | Any Time |
|---|---|---|---|
| Switch MA plans | — | ||
| Join Medicare Advantage | — | — | |
| Drop MA → Original Medicare | — | ||
| Switch Part D plans | — | — | |
| Join a Part D plan | — | — | |
| Switch Medigap plans | — | — | |
| Change Original Medicare | — | — | — |
Should You Make Changes This Year?
Even if you're generally satisfied with your coverage, there are situations where reviewing and potentially switching plans makes sense:
Your premiums or copays are increasing significantly
Compare similar plans with lower costs in your area
Your medications have been moved to a higher tier or removed
Check other Part D or MA-PD plans that cover your drugs at a lower cost
Your doctor is leaving your plan's network
Find a plan that includes your preferred providers
You've had a change in health status
Review whether your current plan still provides the coverage you need
New plan options are available in your area
Compare new plans — they may offer better benefits or lower costs
You're paying for benefits you don't use
Consider switching to a plan that better matches your actual needs
Frequently Asked Questions
Need Help Reviewing Your Options?
Our licensed agents can review your current coverage, compare plans available in your area for 2026, and help you make the best decision during the Annual Enrollment Period.