Medicare Payments and Open Enrollment 2026: $90 Rebate, 2027 Plan Changes and Key Dates
Medicare beneficiaries have two important things to review in October 2026: a one-time $90 Part B premium rebate for eligible people and the upcoming Open Enrollment period for 2027 health and prescription drug coverage. Understanding the eligibility rules, deadlines and plan costs can help beneficiaries avoid missed payments and choose coverage that fits their needs.
Medicare October 2026: Key facts
- $90 rebate: A one-time October payment for certain eligible Original Medicare Part B beneficiaries.
- Open Enrollment: October 15 through December 7, 2026.
- Coverage changes: Changes made during this enrollment period generally take effect January 1, 2027.
- 2027 plan costs: CMS projects a weighted average Medicare Advantage premium of $12 per month and an average standalone Part D premium of $36 per month.
1. Medicare $90 premium rebate in October 2026
The Centers for Medicare & Medicaid Services (CMS) has announced a one-time $90 Medicare Improvement Fund Premium Rebate to help offset the October 2026 Medicare Part B premium for certain beneficiaries.
According to CMS, eligible beneficiaries will generally receive the rebate automatically. Most payments are expected through direct deposit, while some beneficiaries will receive a paper check from the U.S. Department of the Treasury.
Who qualifies for the $90 Medicare rebate?
CMS identifies eligible beneficiaries as people who meet the following conditions:
- They are enrolled in Original Medicare Part B.
- They live in the United States.
- They do not receive Medicaid assistance toward their Medicare premiums.
- They do not pay the Income-Related Monthly Adjustment Amount (IRMAA).
People enrolled in Medicare Advantage are not eligible for this particular rebate. Meeting some, but not all, of the listed conditions does not guarantee eligibility.
When will the rebate arrive?
CMS says most eligible beneficiaries should receive a $90 direct deposit around October 8, 2026. Some people without direct deposit will receive a Treasury check later in October. The timing may vary by payment method.
Beneficiaries who want to check their payment status can contact the Social Security Administration beginning October 15, 2026, at 1-800-772-1213. For questions about rebate eligibility, they can call Medicare at 1-800-633-4227.
Important payment warning
The $90 rebate is a one-time payment, not a new monthly Medicare benefit. Do not assume that every Medicare beneficiary qualifies, and be cautious of unsolicited messages requesting bank details or a fee to release the payment.
2. Medicare Open Enrollment 2026: Important dates
Medicare Open Enrollment is the annual period when people with Medicare can review their coverage and make changes for the following year. The 2026 enrollment period is for coverage beginning in 2027.
| Important date | What it means |
|---|---|
| October 1, 2026 | Beneficiaries can begin reviewing available 2027 plan options. |
| October 15, 2026 | Medicare Open Enrollment begins. |
| December 7, 2026 | Last day for most changes during the annual Open Enrollment period. |
| January 1, 2027 | Coverage changes made during Open Enrollment generally take effect. |
Beneficiaries should submit enrollment requests by December 7. People who are satisfied with their current coverage and whose plan will continue in 2027 generally do not need to re-enroll simply because Open Enrollment has started.
3. What can you change during Medicare Open Enrollment?
During the annual enrollment period, beneficiaries can review their health and prescription drug coverage and make permitted changes.
Medicare Advantage plans
Join, leave or switch Medicare Advantage plans, including eligible plans with prescription drug coverage.
Prescription drug plans
Join, switch or drop a standalone Medicare Part D prescription drug plan if your coverage situation permits it.
Original Medicare
Switch between Original Medicare and Medicare Advantage during the annual election period, subject to applicable enrollment rules.
Coverage and provider networks
Compare doctors, hospitals, pharmacies, prescription formularies, premiums, deductibles and other out-of-pocket costs.
Medigap has separate enrollment rules. Switching to Original Medicare does not automatically guarantee the right to purchase any Medigap policy without underwriting, so beneficiaries should review their options before changing coverage.
4. Medicare Advantage premiums in 2027
CMS estimates that the weighted average monthly premium across Medicare Advantage plans will decrease from $14.37 in 2026 to $12 in 2027. This is a national weighted average, not a guaranteed premium for every person or plan.
Individual plan premiums, deductibles, copayments, provider networks and additional benefits can differ substantially by location and plan. A plan with a low monthly premium may still have costs or coverage restrictions that do not fit every beneficiary.
What should beneficiaries compare?
- Monthly premium and annual out-of-pocket maximum.
- Whether preferred doctors and hospitals remain in-network.
- Prescription drug coverage and pharmacy access.
- Deductibles, specialist visits and hospital cost-sharing.
- Dental, vision, hearing and other supplemental benefits, where offered.
5. Medicare Part D prescription drug premiums in 2027
CMS projects that the average monthly premium for standalone Medicare Part D prescription drug plans will rise from $35.09 in 2026 to $36 in 2027. That is an average increase of less than one dollar per month.
For Medicare Advantage plans that include prescription drug coverage, CMS projects an average monthly Part D premium of $7 in 2027 after applicable Medicare Advantage rebates, compared with $11.32 in 2026.
These figures are national projections. Your actual premium and total drug costs depend on the specific plan, medicines, pharmacy, deductible and applicable assistance.
6. Medicare Part D out-of-pocket limits and drug costs
Prescription drug coverage rules and cost-sharing can change each year. CMS has published 2027 Part D benefit parameters, including a standard-benefit deductible of $700 and an out-of-pocket threshold of $2,400 for 2027. These figures apply to the defined standard benefit framework and do not mean every plan has identical cost-sharing.
Beneficiaries should review their plans 2027 formulary and Summary of Benefits to check whether their medications remain covered and how much they may pay. Do not choose a drug plan based only on its monthly premium.
7. How to compare Medicare plans for 2027
Review your current plan notice
Read your Annual Notice of Change and Evidence of Coverage to understand any 2027 changes in premiums, benefits, providers or drug coverage.
Make a list of your doctors and medicines
Check that your doctors, hospitals and pharmacies are covered and that your prescription medicines appear on the plan formulary.
Compare total costs
Look beyond the premium and estimate deductibles, copayments, coinsurance and prescription expenses throughout the year.
Use official Medicare tools
Compare available options through Medicare.gov or call 1-800-MEDICARE for assistance.
Submit any changes by December 7
Keep a record of your enrollment confirmation and review the coverage information you receive afterward.
8. Help paying Medicare premiums and prescription drug costs
Beneficiaries with limited income and resources may qualify for additional assistance. Two important programs are Medicare Savings Programs and Extra Help.
Medicare Savings Programs
Depending on the program and eligibility, these programs may help pay Medicare premiums and may also help with deductibles, coinsurance and copayments.
Extra Help
Extra Help assists qualifying people with Medicare Part D costs, including premiums, deductibles and prescription drug cost-sharing.
Eligibility and application procedures depend on individual circumstances. Review the official Medicare guidance and your states Medicaid agency information before applying.
Frequently asked questions
Is everyone with Medicare receiving the $90 rebate?
No. The rebate is limited to certain eligible Original Medicare Part B beneficiaries. People enrolled in Medicare Advantage are not eligible for this specific payment.
When does Medicare Open Enrollment end in 2026?
The annual Open Enrollment period ends December 7, 2026. Most changes made during this period take effect January 1, 2027.
Will every Medicare Advantage plan cost $12 per month in 2027?
No. The $12 figure is CMSs projected national weighted average monthly premium. Actual premiums vary by plan and location, and some plans may cost more or less.
Do I need to change my Medicare plan every year?
No. If your current plan continues and meets your needs, you generally do not have to change it. Reviewing the plan each year helps you identify changes in costs, providers and coverage.
Where can I check Medicare plan prices and coverage?
Use the official Medicare Plan Finder at Medicare.gov or call 1-800-MEDICARE for help comparing health and prescription drug plans.
Can I get help paying my Medicare costs?
You may qualify for a Medicare Savings Program or Extra Help if you meet the applicable income, resource and other requirements.
Bottom line
October 2026 is an important month for Medicare beneficiaries. Eligible people with Original Medicare Part B should check for the one-time $90 rebate, while everyone reviewing health or prescription drug coverage should compare their options for 2027 before the December 7 deadline.
National premium averages are useful for understanding overall trends, but your actual costs depend on your plan, location, healthcare needs and eligibility for financial assistance. Use official Medicare resources to confirm payment status, compare coverage and make informed decisions.
Official Medicare resources
- Medicare Open Enrollment: Medicare.gov
- Medicare $90 Premium Rebate: CMS.gov and Medicare.gov
- 2027 Medicare Advantage and Part D premium projections: CMS.gov
- Medicare Savings Programs and Extra Help: Medicare.gov
