Medicare Part D: Prescription Drug Coverage

Prescription drug costs can also vary year to year. The average premium for a standalone Part D plan is projected to be $34.50 in 2026, slightly lower than the 2025 average of $38.31. For Medicare Advantage plans that include Part D coverage, the premium is expected to decrease from $13.32 to $11.50.

The maximum Part D deductible for 2026 is set at $615, up $25 from 2025. The out-of-pocket cap for covered medications rises to $2,100, up $100 from last year.

This cap does not include medications covered under Part B, such as vaccines administered by your doctor, though certain preventive vaccines—including flu shots and COVID boosters—are provided at no cost.

Part D enrollees can also opt into a payment plan that spreads out out-of-pocket costs over the year rather than paying them at the pharmacy all at once. Under this program, your plan sends a monthly statement showing what you owe for prescriptions. High-income beneficiaries will pay a Part D IRMAA surcharge of $14.50 to $91.00 if applicable.

Even if you currently take few medications, enrolling in a Part D plan can help you avoid future late enrollment penalties and protect you against unexpected drug costs.