Quick answer: For 2027, the yearly cap on what you pay for covered Part D drugs rises to $2,400 (it is $2,100 in 2026), and the most a Part D plan can charge for its drug deductible rises to $700 (from $615). Medicare has not announced the 2027 Part B premium, Part B deductible, or Part A deductible yet; those usually come out in October or November. Annual Enrollment runs October 15 – December 7, 2026, and any change you make starts January 1, 2027. In California, the Medigap Birthday Rule is unchanged, and free counseling is available from HICAP at 1-800-434-0222.
Every fall, Medicare’s numbers and rules for the next year arrive a few at a time. This guide collects what has been officially published for 2027 so far, what is still to come, and what it means if you live in Los Angeles, Orange, Ventura, Santa Barbara, San Diego, Riverside, or San Bernardino County. I’ll update it as the remaining 2027 figures are announced. (For this year’s numbers, see 2026 Medicare changes in California.)
The 2027 numbers published so far
| What | 2026 | 2027 |
|---|---|---|
| Part D out-of-pocket cap (covered drugs) | $2,100 | $2,400 |
| Highest Part D deductible a plan can charge | $615 | $700 |
| Extra Help drug copays (highest, generic / brand) | $5.10 / $12.65 | $5.80 / $14.40 |
| Highest in-network out-of-pocket limit a Medicare Advantage plan can set | $9,250 | $9,850 |
| Standard Part B premium (monthly) | $202.90 | Not announced yet |
Sources: CMS’s 2027 Rate Announcement (April 2026), CMS’s 2027 Medicare Advantage out-of-pocket limit tables, and Medicare.gov. Your own plan’s deductible and out-of-pocket limit can be lower than these maximums.
What CMS announced on September 28, 2026
On September 28, 2026, the Centers for Medicare & Medicaid Services (CMS) published its 2027 outlook for Medicare Advantage and Part D. The national picture:
- Average Medicare Advantage premium: projected to go from $14.37 a month in 2026 to $12.00 a month in 2027.
- Average stand-alone Part D premium: projected to go from $35.09 a month in 2026 to about $36 a month in 2027.
- Medicare Advantage plans nationwide: about 5,532 in 2027, compared with 5,553 in 2026.
- CMS estimates that about eight in ten Medicare Advantage members can stay in their current plan at the same or a lower premium.
These are national averages. Your own plan can move in either direction, which is why your Annual Notice of Change tells you more than any average. In any Medicare Advantage plan you also continue to pay your Part B premium.
California by the numbers for 2027
CMS’s California fact sheet shows:
- 394 Medicare Advantage plans are offered statewide in 2027, compared with 402 in 2026. The plans you can join depend on your county.
- The average monthly Medicare Advantage premium in California is $14.12 in 2027, compared with $13.77 in 2026.
- 10 stand-alone Part D prescription drug plans are available in California in 2027. The lowest monthly premium among them is $5.30. The lowest-premium plan is not automatically the lowest-cost plan for your prescriptions, so check your own drug list.
- About 7.2 million Californians are enrolled in Medicare.
Source: CMS press release and CMS 2027 Medicare Advantage and Part D Landscape, California fact sheet, both dated September 28, 2026.
How to see the 2027 plans for your ZIP code
The plans you can join depend on where you live, so the 2027 list for a ZIP code in Santa Clarita can differ from the list for Santa Barbara or Chula Vista. To see yours:
- Go to Medicare’s Plan Finder at Medicare.gov/plan-compare and enter your ZIP code. If your ZIP code crosses a county line, choose your county.
- If you are asked which year, choose 2027 coverage.
- Add your prescriptions and pharmacies so the yearly cost estimate reflects your own drugs.
- Filter by plan type and compare plans side by side.
Plan Finder lists every plan offered in your ZIP code. A broker can show you only the plans they represent. For local context, see my pages for Los Angeles, Orange County, Ventura County, Santa Barbara, San Diego, Riverside County, San Bernardino County, Kern County, and San Luis Obispo County.
Still to come this fall
- Part B and Part A amounts for 2027. The Part B premium and deductible, the Part A hospital deductible, and the income brackets for higher-income premiums (IRMAA) are usually announced in October or November.
- Plan details for 2027. 2027 plan details are now in Medicare’s Plan Finder, including premiums, drug lists, and networks for each plan.
2027 Star Ratings are published
Medicare rates Medicare Advantage and Part D plans from 1 to 5 stars each year. The 2027 ratings were published on October 8, 2026, and Plan Finder now shows them for rated plans.
Nationally, about 37% of Medicare Advantage contracts with drug coverage (188 contracts) earned four stars or higher for 2027. About 71% of people currently enrolled in a Medicare Advantage plan with drug coverage are in a contract that will have four or more stars in 2027. The average rating for Medicare Advantage plans with drug coverage, weighted by enrollment, is 3.99 stars, compared with 4.01 for 2026.
A rating belongs to the insurer’s contract, which can include several plans, so look up the rating for the specific plan in your ZIP code. It is one signal. Whether your doctors, medical group, and prescriptions fit the plan comes first. See how to compare Medicare Advantage plans.
Part D in 2027: a higher cap, and a steadier way to pay
Once your out-of-pocket spending on covered Part D drugs reaches $2,400 in 2027, you pay $0 for covered drugs for the rest of the year. The cap is adjusted every year, which is why it moves up from $2,100. Plans can also charge a drug deductible of up to $700; some plans charge less, apply it only to certain drug tiers, or have no deductible at all.
A temporary Medicare program that limited premium increases for many stand-alone drug plans ends after 2026. That doesn’t mean your premium will jump, but it is one more reason to check your plan’s 2027 premium in your Annual Notice of Change.
The Medicare Prescription Payment Plan, which lets you spread your drug costs into monthly payments instead of paying large amounts at the pharmacy counter, continues in 2027. If you’re signed up and stay in the same plan, your enrollment renews automatically.
Negotiated Medicare prices for 15 more brand-name drugs take effect January 1, 2027, including Ozempic, Rybelsus, and Wegovy, Trelegy Ellipta, Xtandi, Ibrance, Linzess, and Janumet. The negotiated price is what your plan pays; what you pay still depends on your plan’s copay or coinsurance, so check how your plan covers your drugs.
Medicare Advantage in 2027
Medicare Advantage plans can change their premiums, doctor networks, drug lists, and extra benefits every January. A few 2027 changes are worth knowing:
- Out-of-pocket limits. The highest in-network yearly out-of-pocket limit a plan can set rises to $9,850 (from $9,250). Many plans set lower limits; your plan’s own limit is in its Annual Notice of Change and on Medicare’s Plan Finder.
- Benefit cards. If your plan gives you a card for extras like over-the-counter items, new 2027 rules say the card must check at the register that the purchase is covered, unused balances don’t carry over into the next year, and the plan must offer another way to be reimbursed when the card can’t be used.
- Prior authorization. Starting January 1, 2027, plans may be able to handle prior authorization requests electronically, and you may be able to see decisions in your patient portal.
- Plans that are not renewing. Some Medicare Advantage plans in California are not renewing for 2027. If yours is one of them, you’ll get a notice and special rights to choose new coverage. See what to do if your plan is discontinued.
What stays the same in California
- The Medigap Birthday Rule. Each year, a window of at least 60 days starting on your birthday lets you switch to a Medigap plan with equal or lesser benefits without medical underwriting. See the California Birthday Rule for Medigap.
- Free counseling. HICAP, California’s State Health Insurance Assistance Program (SHIP), offers free, unbiased Medicare counseling at 1-800-434-0222.
- The enrollment calendar. Annual Enrollment is October 15 – December 7 every year, and the Medicare Advantage Open Enrollment Period is January 1 – March 31.
Your Annual Enrollment checklist for 2027
- Read your Annual Notice of Change. It arrives by the end of September.
- List your doctors, hospitals, and prescriptions with doses.
- You can now compare 2027 plans on Medicare.gov or with a licensed broker.
- Compare the total yearly cost, not just the premium: premium, deductibles, copays, and the out-of-pocket limit.
- Make any change between October 15 and December 7. If your plan still fits, keeping it is a fine choice.
For a month-by-month plan, see my Annual Enrollment guide.
Frequently asked questions
- What is the Part D out-of-pocket cap for 2027?
- $2,400. Once your out-of-pocket spending on covered Part D drugs reaches $2,400 in 2027, you pay nothing for covered drugs for the rest of the year. In 2026 the cap is $2,100.
- What will the Part B premium be in 2027?
- Medicare has not announced it yet. The 2027 Part B premium and deductible are usually announced in October or November. In 2026 the standard Part B premium is $202.90 a month.
- How many Medicare Advantage plans are available in California for 2027?
- CMS’s California fact sheet, dated September 28, 2026, lists 394 Medicare Advantage plans statewide for 2027, compared with 402 in 2026. The plans you can join depend on your county and ZIP code.
- How do I find the 2027 Medicare Advantage plans for my ZIP code?
- Enter your ZIP code in Medicare’s Plan Finder at Medicare.gov/plan-compare and choose 2027 coverage. It lists every Medicare Advantage and Part D plan offered where you live. Add your prescriptions and pharmacies to see estimated yearly costs, and check each plan’s provider directory for your doctors.
- Are Medicare Advantage premiums going up in 2027?
- Nationally, CMS projects the average Medicare Advantage premium will go from $14.37 a month in 2026 to $12.00 in 2027. In California the average is $14.12 in 2027, compared with $13.77 in 2026. Your own plan’s 2027 premium is in your Annual Notice of Change, and you continue to pay your Part B premium.
- When can I change my Medicare coverage for 2027?
- During Annual Enrollment, October 15 to December 7, 2026. Changes start January 1, 2027. If you are in a Medicare Advantage plan, the Medicare Advantage Open Enrollment Period, January 1 to March 31, 2027, lets you make one more plan change.
- Is the California Birthday Rule changing in 2027?
- No. California’s Medigap Birthday Rule is unchanged: each year you get a window of at least 60 days, starting on your birthday, to switch to a Medigap plan with equal or lesser benefits without medical underwriting.
- Do I have to do anything if my plan is changing for 2027?
- No. If you do nothing, your plan usually renews on January 1 with the changes listed in your Annual Notice of Change. If your plan is not renewing, you will get a notice and will need to choose new coverage.
Sources & official references
- CMS: 2027 Medicare Advantage and Part D Rate Announcement (April 6, 2026) — the 2027 Part D cap, deductible, and Extra Help copays
- Medicare.gov: Costs for Medicare drug coverage — $2,400 cap and $700 deductible limit for 2027
- CMS: 2027 Part D bid information (July 28, 2026) — including the end of the premium stabilization program
- CMS: Contract Year 2027 Medicare Advantage and Part D final rule — benefit card and other 2027 plan rules
- CMS: Medicare Advantage and Part D outlook for 2027 (September 28, 2026) — national average premiums and plan counts
- CMS 2027 Medicare Advantage and Part D Landscape, California fact sheet (September 28, 2026) — California plan counts and premiums
- CMS: 2027 Medicare Advantage and Part D Star Ratings (October 8, 2026) — national rating figures
- CMS: Negotiated prices for 2027 — the 15 drugs with new prices starting January 1, 2027
- Medicare & You 2027 — the official handbook
- Medicare.gov: Joining a plan — Annual Enrollment and other enrollment periods
- California Insurance Code §10192.11 — the Medigap Birthday Rule
- California HICAP — free, unbiased Medicare counseling, 1-800-434-0222 (California’s State Health Insurance Assistance Program (SHIP))
Last reviewed: October 2026. The 2027 Part B, Part A, and IRMAA amounts had not been announced when this was written; check Medicare.gov for current figures. Educational information only, not individualized advice.
This is a non-government resource and is not affiliated with or endorsed by Medicare.gov or the federal Medicare program. We do not offer every plan available in your area. Please contact Medicare.gov, 1-800-MEDICARE, or your local State Health Insurance Assistance Program (SHIP) — in California, the Health Insurance Counseling and Advocacy Program (HICAP) — to get information on all of your options. Matt Medicares Insurance is an independent insurance brokerage and is not affiliated with or endorsed by Medicare, the Centers for Medicare & Medicaid Services, or any government agency. Educational information only, not individualized advice. Last reviewed: October 2026. Medicare figures and plan details change annually — confirm current amounts and plan availability at Medicare.gov.
