Medicare Part D Is Changing in 2027 — Don’t Make This Mistake

Prescription drug coverage could cost much more next year for millions. >> Every year gets higher, higher, higher. >> Millions of Americans who do rely on this particular Medicare subsidy [music] will be paying more. >> The biggest risk with Medicare Part D changes coming in 2027 may not be higher premiums. It may be making the wrong decision

because you're worried about higher premiums. You've probably seen some of the headlines. A government program that has helped stabilize Medicare Part D premiums is ending. And yes, that could mean higher premiums for some retirees next year. But that is only part of the story. At the same time, some prescription drug prices are coming down.

There are fewer standalone Part D choices than there were just a few years ago. Insurance companies can change which drugs they cover and which pharmacies you can use. And as I'm recording this, we don't have the final 2027 premiums for individual plans yet. So, I don't think the question that you should be asking is simply is my Part D

premium going up? The better question is what is my total cost going to be? And am I still in the right plan? Because those are two very different questions. So, let me show you what is exactly changing and what isn't changing and most importantly what I think you should do about it. Hello and welcome to the

Financial Fastlane. My name is Lane Martinson. First, let's clear up the biggest misconception. Medicare Part D is not going away. Your prescription drug coverage isn't disappearing. What's ending is a temporary government program called the Part D Premium Stabilization Demonstration. Now, don't worry about remembering that name. Here's all that you really need to know.