Medicare beneficiaries will experience several important changes to Part D prescription drug coverage for 2026, significantly impacting choices during the Medicare open enrollment period. Understanding these updates is crucial to selecting the best plan for the coming year and managing out-of-pocket drug costs effectively.
2026 Part D Deductible and Out-of-Pocket Maximum
The maximum deductible for stand-alone Part D plans will rise to $615 in 2026, up from $590 the previous year. Additionally, a pivotal reform is the annual out-of-pocket spending cap set at $2,100 for covered prescription drugs under Part D, an increase from the $2,000 cap in 2025. Once enrollees reach this threshold, they pay nothing for their covered Part D drugs for the rest of the year, effectively eliminating the previous “catastrophic coverage” coinsurance obligations.
Premiums and Plan Choices
Monthly premiums for stand-alone Part D plans are expected to decrease, with estimates suggesting a drop from $38 in 2025 to $34 in 2026 for these plans. For those with Part D coverage through Medicare Advantage, average premiums may decrease slightly as well. However, the number of stand-alone Part D plan options nationwide is projected to drop from 464 in 2025 to 360 in 2026, resulting in fewer choices for most beneficiaries.
Open Enrollment: Key Dates and Strategies
The open enrollment period for 2026 Medicare coverage runs from October 15 to December 7, 2025. During this time, beneficiaries can join, drop, or switch Part D and Medicare Advantage plans, with any changes taking effect on January 1, 2026. Reviewing your Annual Notice of Change and comparing plan formularies and costs is critical since drug lists, co-pays, and out-of-pocket costs can change each year.
Special Cost Savings and Program Changes
For 2026, insulin cost-sharing is capped at $35 per month for most covered products, and recommended adult vaccines continue to be available with no out-of-pocket costs. Beneficiaries with higher incomes will still pay income-related monthly adjustments in addition to their regular Part D premium.
Final Considerations
Because the number of available plans is shrinking and cost-sharing rules have changed, it is more important than ever to compare options during open enrollment. Carefully considering drug coverage and total costs will help beneficiaries avoid unpleasant surprises and ensure they get the most value from their Medicare plan in 2026.
You can compare part D plans at medicare.gov