(KOAA) — Medicare beneficiaries have until Dec. 7 to review their health coverage and make changes for 2027, and experts are encouraging people not to automatically renew their current plans without comparing their options.
Premiums, out-of-pocket expenses and covered services can change from year to year, potentially leaving beneficiaries with higher costs or coverage that no longer meets their needs.
“ This is a market that can change a lot from year to year,” said Leigh Purvis, prescription drug policy principal with the AARP Public Policy Institute. “We have been really strongly advocating for people to take a look at their option."
Purvis said beneficiaries should pay attention to whether their current plan will still be offered, changes in premiums and how much they will pay for medical services. They should also check whether the services they need remain covered. Even people who are satisfied with their current coverage should take time to compare plans, she said.
“Because plans can change so much, what works for you this year may not work for you next year,” Purvis added. “And in fact, it could be significantly more expensive or may not even cover the services you need.”
Purvis also cautioned beneficiaries against choosing a plan based solely on its monthly premium. While a lower premium may initially appear more affordable, a plan with a higher premium could offer more generous coverage and lower out-of-pocket expenses.
“ Oftentimes what you'll find is the plan with a higher premium may actually have lower cost sharing and could cover more services because the coverage is just more generous,” Purvis explained.
She encouraged beneficiaries to calculate their total expenses, including premiums and out-of-pocket costs, before making a decision.
“It's important to look at the big picture and simply do the math, make sure that the total costs are something that work for you and not just look at that premium,” she said.
For people who need assistance navigating their options, Purvis pointed to the State Health Insurance Assistance Programs, which provide individualized Medicare counseling in every state. Information is available at SHIPHelp.org. You can also find information for Colorado by clicking here.
AARP also offers Medicare information and resources at AARP.org/Medicare.
Prescription drug costs are another area beneficiaries should watch as they evaluate their coverage for 2027. According to AARP, Medicare Part D's updated out-of-pocket spending cap will protect beneficiaries from paying more than $2,400 for covered prescription drugs next year. Purvis also highlighted another round of Medicare-negotiated prescription drug prices scheduled to take effect in 2027. The medications include Ozempic and the cancer drug Ibrance, among others. She said the lower negotiated prices could provide relief for people struggling to afford their prescriptions.
Ultimately, Purvis said beneficiaries should make reviewing their coverage an annual priority rather than assuming their existing plan will continue to meet their needs.
“The most important thing for people to get, keep in mind is that it is really important that you shop,” she said. “This can have a real impact, and we want to make sure that no one is unpleasantly surprised in January if they find that their plan has changed.”
The Medicare open enrollment period runs through Dec. 7, giving beneficiaries time to compare coverage and make changes before the 2027 plan year begins.
Right to Hunt and Fish? Amendment 83
____
Watch KOAA News5 on your time, anytime with our free streaming app available for your Roku, FireTV, AppleTV and Android TV. Just search KOAA News5, download and start watching.
