Medicare beneficiaries can change their coverage during open enrollment, which begins Oct. 15
Medicare Advantage currently controls more than half of the overall Medicare market of roughly 69.6 million subscribers.
Medicare Advantage plans will cost less next year.
Subscribers to Medicare Advantage, the private alternative to traditional Medicare, will see monthly costs drop in 2027, and people with stand-alone prescription-drug coverage will see their premiums rise by less than $1.
The weighted average monthly premium across all Medicare Advantage plans, including plans with prescription-drug coverage and special-needs plans, is projected to decrease 16.5% to $12 in 2027, down from $14.37 in 2026, according to the Centers for Medicare & Medicaid Services. Supplemental offerings, including hearing, dental and vision benefits, are expected to remain stable.
Meanwhile, the total average monthly Part D premium for stand-alone prescription-drug plans is projected to increase to $36 from $35.09, CMS said.
The projected costs come as Medicare's open-enrollment period is set to begin: It starts Oct. 15 and run through Dec. 7. During that time, people can switch from traditional Medicare to a private Medicare Advantage plan, change from one Medicare Advantage plan to another, and join or change a Medicare Part D prescription-drug plan. The changes go into effect on Jan. 1.
Medicare Advantage currently controls more than half of the overall Medicare market of roughly 69.6 million subscribers. Medicare Advantage plans offer extra benefits such as vision and dental coverage and cap annual out-of-pocket costs but have a limited choice of doctors and extra requirements for specialist referrals.
More than 99% of Medicare beneficiaries will have access to at least one Medicare Advantage plan in 2027, while 97% will have access to 10 or more options. The total number of available Medicare Advantage plans nationally is expected to remain relatively stable, dropping to 5,532 in 2027 from 5,553 in 2026, CMS said.
About 80% of Medicare Advantage beneficiaries will be able to remain in their current plan with the same or a lower premium in 2027, CMS said.
Based on plan projections, total enrollment in Medicare Advantage is estimated to be 34 million in 2027, representing about 47.4% of all people enrolled in Medicare. Plan-enrollment projections, however, have historically understated actual enrollment, CMS said, so the 2027 subscriber tally could be higher.
The growth in Medicare Advantage has slowed recently as plans quit unprofitable markets and trimmed benefits. Medicare Advantage plans had 35.5 million enrollees as of February 2026, up 3.2% from 34.4 million enrollees a year earlier, according to CMS. That's down from growth that ranged from from 7% to 10% a year between 2017 and 2024.
-Jessica Hall