Medicare open enrollment is officially underway, and this year’s changes could hit retirees harder than ever.

Millions of seniors are about to face higher out-of-pocket costs, shrinking benefits, and premium hikes that will take effect in 2026.

But there’s still time to avoid overpaying.

Rising Costs and Tough Choices Ahead

Enrollment runs through December 7, giving retirees just a few weeks to review their coverage. Experts are urging every Medicare recipient to take this year seriously, because what looks like a small increase on paper could add up to hundreds — or even thousands — of dollars a year.

The biggest change comes from Medicare Part D. The annual out-of-pocket cap for prescription drugs will rise to $2,100 in 2026, up from $2,000 next year. That may sound minor, but for retirees on multiple medications, it’s a real hit.

At the same time, many Medicare Advantage plans are raising monthly premiums or trimming benefits to offset higher costs. That means fewer perks, smaller provider networks, and higher copays for the same coverage retirees have relied on.

“The message this year is simple: don’t assume your current plan is still the best deal,” said a senior policy analyst with a national retirement organization. “Every plan is changing — and not always in your favor.”

For retirees living on fixed incomes, the smallest increase can break a carefully balanced budget.

Why Comparing Plans Could Save Big

Despite all the changes, there’s good news. Medicare.gov and the 1-800-MEDICARE helpline remain fully operational during the ongoing federal government shutdown. That means seniors can still get help comparing plans and switching coverage before the deadline.

Health experts say taking advantage of that help could make a major difference. Each year, millions of Americans stay in the wrong plan simply because they don’t realize how much prices or coverage have shifted.

In many cases, retirees can save hundreds of dollars a year — or more — just by switching insurers or adjusting prescription coverage. But the window to act is short, and once open enrollment closes on December 7, those choices lock in for another year.

The cost increases come at a time when inflation and housing expenses are already cutting into retirement budgets. For seniors juggling multiple medications or specialist visits, planning ahead isn’t optional — it’s essential.

Experts recommend reviewing three things before the deadline: your drug list, preferred pharmacies, and any doctor network changes for 2026. Even small differences can turn into big bills later.

Medicare officials stress that the annual review isn’t just for people with new health conditions — it’s for everyone. Plans that worked last year might not be the right fit next year.

While no one welcomes higher costs, informed retirees still have power. By comparing options now, many can minimize the damage and hold onto more of their hard-earned savings.

For millions of older Americans, that’s the difference between financial stress and a secure retirement.