On October 1, the 2026 information for Medicare Part D drug and Medicare Advantage plans went live. Past experience has taught me it is too early to dig into drug costs, coverage, and star ratings. Besides, the Open Enrollment Period does not start officially until October 15.
However, there is enough information available about plan numbers and premiums, two very important elements, to get a glimpse of what’s to come. (A preliminary look brings to mind the childhood game of fruit basket upset.) Plans and premiums have flipped and changed.
This will be the fourth year I am zeroing in on three ZIP codes: one each in Los Angeles, Fort Lauderdale, and a Milwaukee suburb, to check what’s happening with cost and coverage. Here is a first glimpse of the changes that will have an impact on beneficiaries all over the country. This review is not a scientific study. It is observational, with the a goal of getting drug plan members to pay attention to the changes.
The number of stand-alone Part D drug plans will drop again in 2026.
In 2023, there were 26 plans in Los Angeles and 23 each in Milwaukee and Fort Lauderdale. Every year since then, the number of plans declined. Heading into 2026, every city will lose four more so Los Angeles will have 12 plans and Milwaukee and Fort Lauderdale, ten each. Those numbers represent about a 45% decrease in available plans over the last three years.
Some plans are leaving the market.
Anthem announced last month that it was exiting the Part D market entirely. That change will affect Part D members in at least 13 states. There are a few plans for other insurers here and there that won’t be around next year.
There does not appear to be any rhyme or reason to the changes in premiums.
- Of the 12 plans in Los Angeles, seven premiums increased, two by $50, and the others between $10 and $30. Five premiums went down, ranging from $2 to $15, with one plan dropping $70 a month.
- In Fort Lauderdale, six premiums went up and four went down, with the changes mirroring Los Angeles.
- The Milwaukee suburb was very different. Eight plans have lower premiums (including three that now have no premium), one plan increased by $24, and one stayed the same (also zero-premium).
Four of the 32 plans increased the monthly premium by $50.
Last year, the Centers for Medicare and Medicaid Services introduced the Part D Voluntary Premium Stabilization Demonstration. Monthly Part D premiums were limited to increases of $35. This year, that limit is $50.
For the first time (to my knowledge), there are plans with monthly premiums of more than $200.
There will be one plan in Los Angeles and one in Fort Lauderdale that charge over $200 a month. The highest premium in the Milwaukee suburb in 2026 will be $114.
Next Steps
- Read the Annual Notice of Changes (ANOC) from your drug plan. You should have already received it in the mail. If you didn’t, contact a plan representative.
- During the Open Enrollment Period, check out the changes in your plan and compare it to others available in your area.
- If you have a plan, such as Anthem, that is leaving the market, it’s up to you to find a new one for 2026. You will not be enrolled automatically in some other plan. If you don’t sign up for a new plan by December 7, there will be a gap in your drug coverage.
This post is a very preliminary review of the changes. More details will become available in the next few weeks. Whether or not you live in one of these cities, know that it is not too early to pay attention to your drug coverage. There will be changes, no matter where you live.
So be forewarned. You have time to rearrange that fruit basket I mentioned into a palatable fruit salad.
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