The Window Is Open October 15 — Here’s How to Use It
Medicare’s Annual Enrollment Period opens October 15 and runs through December 7. For the roughly 68 million Americans enrolled in Medicare, this is the once-a-year window to switch plans, change drug coverage, or move between Original Medicare and Medicare Advantage, with any changes taking effect January 1, 2027.¹ For employees with employer-sponsored benefits, most workplace enrollment windows are open around the same time.
The single most costly mistake during open enrollment is also the most common: doing nothing. Auto-renewal is the default, but plans change every year, and premiums, drug formularies, provider networks, and out-of-pocket limits can all shift even if you take no action. The plan that fits your situation in 2026 may not be the best option for 2027.
Start With Your Annual Notice of Change
Every Medicare Advantage and Part D enrollee should receive an Annual Notice of Change, or ANOC, by September 30. This document outlines exactly what is changing in your plan for the coming year, including premiums, copays, drug coverage, and network. It is the single most important document to review before making any enrollment decision, and it is frequently discarded without being read.²
This year’s open enrollment is particularly worth a careful look. The Centers for Medicare and Medicaid Services issued a sweeping final rule in April 2026 that rewrites how Medicare Advantage and Part D plans are rated, marketed, and paid. These changes will show up directly in the plan options available this fall.³ A plan that ranked well under prior criteria may look different under the new rating structure.
Medicare Advantage vs. Original Medicare: The Core Decision
For beneficiaries who have not recently revisited the fundamental question of whether Medicare Advantage or Original Medicare is the right structure for their situation, open enrollment is the moment to do it.
Medicare Advantage, also called Part C, bundles hospital, medical, and often drug coverage into a single plan, typically with lower monthly premiums and added benefits like dental and vision. The trade-off is a more restricted provider network and prior authorization requirements that can slow access to specialists and procedures.
Original Medicare, paired with a Medigap supplemental policy, provides broader and more predictable access to providers nationwide, which is particularly valuable for beneficiaries with complex medical needs, those who travel frequently, or those who require care at specific academic medical centers or cancer centers. The premium cost is generally higher, but out-of-pocket exposure is more contained. ⁴
Neither structure is universally superior. The right answer depends on individual health needs, geographic location, prescription drug requirements, and financial circumstances, which is exactly why this decision benefits from a conversation with your advisor rather than a default renewal.
Reviewing Part D Drug Coverage
Even beneficiaries who are satisfied with their Medicare Advantage plan should separately verify that their prescription drugs remain on the plan’s formulary for 2027 and at what cost tier. Drug formularies change annually. A medication that was covered at a preferred tier in 2026 may move to a non-preferred tier or be dropped from coverage entirely for the coming year.
The Medicare Plan Finder tool at Medicare.gov allows beneficiaries to enter their specific medications and compare out-of-pocket drug costs across available plans in their area — a comparison that takes less than 15 minutes and can identify meaningful savings.⁵
Employer Benefits: The Parallel Window
For those still working, the fall open enrollment window for employer-sponsored benefits runs on a similar timeline. Key elections to review include health plan tier selection, flexible spending account and health savings account contribution levels for 2027, and life and disability insurance coverage amounts — particularly for employees whose income, family situation, or net worth has changed since last year’s elections.
One frequently missed opportunity: increasing HSA contributions during open enrollment for the coming plan year. For 2027, HSA contribution limits are expected to increase modestly from 2026 levels. Maximizing HSA contributions — which are pre-tax, grow tax-free, and can be withdrawn tax-free for qualified medical expenses — remains one of the most efficient savings vehicles available.
The IRMAA Connection
As covered in the July newsletter, higher-income Medicare enrollees pay additional premiums through the Income-Related Monthly Adjustment Amount, or IRMAA, based on income from two years prior. For beneficiaries who experienced a significant income reduction since the year used to calculate their current surcharge — due to retirement, the death of a spouse, or another qualifying life event — open enrollment is also a good time to confirm whether an IRMAA appeal may be appropriate. Your Wedbush advisor can help evaluate whether that conversation with Social Security Administration makes sense.
Bottom Line: The open enrollment window closes December 7 — and the decisions made during it will govern healthcare costs and coverage for all of 2027. Reviewing your ANOC, comparing drug coverage, and revisiting the Medicare Advantage vs. Original Medicare question are all worth the time. Your Wedbush advisor can help ensure benefits decisions align with the broader financial plan.
Sources:
- https://www.medicare.gov/health-drug-plans/open-enrollment
- https://health.usnews.com/medicare/articles/medicare-advantage-vs-original-medicare
- https://govtschemes.org/medicare-open-enrollment-dates-and-2027-plan-rule-changes/
- https://seniorssecrets.com/medicare-advantage-2027-open-enrollment-guide/
- https://www.medicare.gov/plan-compare/#/?lang=en&year=2026
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