Part D is Medicare’s prescription drug coverage. You get it through a stand-alone drug plan or through a Medicare Advantage plan that includes drugs.
The 2027 numbers
Part D in 2027
- Deductible: no plan can charge more than $700 (up from $615 in 2026)
- Out-of-pocket cap: $2,400 (up from $2,100 in 2026)
- After you reach the cap, you pay $0 for covered Part D drugs for the rest of the year
All numbers are from Medicare.gov.
Short on time? Book a free 30-minute Medicare check-up and we’ll do the comparing for you.
How the 3 stages work
- Deductible stage. If your plan has a deductible, you pay full price until you meet it. Some plans have no deductible.
- Initial coverage. You pay about 25% of the cost for covered drugs until your out-of-pocket spending reaches $2,400.
- Catastrophic coverage. You pay nothing for covered Part D drugs for the rest of the calendar year.
This comes from Medicare.gov.
Why your plan choice still matters
The cap is the same in every plan. But plans differ on which drugs they cover, which tier they’re on, which pharmacies are preferred, and the monthly premium. Two plans can cost you very different amounts before you hit the cap.
Bring this list to your review
- Every prescription, with the dose and how often you take it
- Your pharmacy (or if you use mail order)
- Your plan’s 2027 “Annual Notice of Change”
Key Medicare dates
- October 15 to December 7: Annual Enrollment Period. Changes start January 1
- Missed it? Most people can’t change plans again until next fall, unless they qualify for a special enrollment period
Quick answers
Does the $2,400 cap include what Extra Help pays?
Yes. Certain payments made on your behalf, like through Extra Help, count toward the cap.
I take expensive brand-name drugs. Will I save?
If you reach the cap, you’ll pay $0 for covered drugs after that. Plan choice still affects how fast you get there.
Not sure if your Medicare plan still fits?
Book a 30-minute Medicare check-up. A licensed agent reviews your doctors, prescriptions, and costs, then tells you plainly whether to stay or switch. No cost and no obligation.
Book My Medicare Check-Up or call (786) 730-9658
Prefer to read first? Download the 2027 Medicare Check-Up Checklist.
Related guides
- Medicare Advantage vs. Medigap: which is right for you?
- Top 5 Medicare myths debunked
- How to avoid Medicare late enrollment penalties
- Medicare Advantage 2027: 5 changes to know
- Dental, vision, and hearing coverage for seniors in 2027
Sources
- Medicare.gov: How much does Medicare drug coverage cost?
- Anthem: Medicare Advantage enrollment periods
We do not offer every plan available in your area. Currently we represent 4 organizations which offer 57 products in your area. Please contact Medicare.gov or 1-800-MEDICARE to get information on all of your options. Simple Start Insurance is a licensed and certified representative of Medicare Advantage organizations and stand-alone prescription drug plans. Each of the organizations we represent has a Medicare contract. Enrollment in any plan depends on contract renewal. Not affiliated with or endorsed by any government agency. This article is general information.
