The Trump administration projects average Medicare Advantage (MA) premiums will decline slightly for the 2026 plan year.
The Centers for Medicare & Medicaid Services (CMS) announced Friday that the average monthly premium across all types of MA coverage is set to be $14, down from $16.40 in 2025. This includes MA plans with prescription drug coverage as well as dual special needs plans.
In addition, the agency said that, based on projections from insurers, overall enrollment in MA is expected to decrease from 34.9 million last year to 34 million in 2026, representing 48% of Medicare eligibles. Fifty percent of Medicare beneficiaries were enrolled in MA for 2025.
The CMS said in the announcement that while these figures are based on insurers’ estimates, the agency “anticipates that enrollment in MA in 2026 will be more robust than the plans’ projections and that enrollment will be stable.”
The total number of MA plan options available is also set to decline, decreasing from 5,633 options in 2025 to about 5,600 for the 2026 plan year. The CMS said more than 99% of Medicare eligibles will have access to at least one MA plan, with 97% able to access 10 or more.
“Millions of Medicare beneficiaries will continue to have access to a broad range of affordable coverage options in 2026,” said CMS Administrator Mehmet Oz, M.D., in the announcement. “We want every beneficiary to take advantage of open enrollment—compare your options and choose the plan that gives you the right care at the best price.”
Medicare’s annual enrollment period is set to begin Oct. 15, and individual insurers are on deck to release further details about their plan lineups for the coming year. The two largest national carriers—UnitedHealthcare and Humana—have trimmed back their geographic footprints of late in response to ongoing financial pressures amid a spike in utilization.
The average monthly premium for Medicare Part D plans is also set to decline, according to the CMS. The average 2026 premium is estimated to be $34.50, down from $38.31.
As part of the open enrollment process, the CMS said it is rolling out new features to make it easier for beneficiaries to shop for plans. They will be able to compare which plans accept their current providers, what kind of supplemental benefits are available and what security measures are in place to secure their accounts.
The Medicare Plan Finder will also be able to use an artificial-intelligence-powered prescription cost estimator over the next several months to measure expenses at local pharmacies.
Medicare’s annual enrollment period will run through Dec. 7.