Michael's Medicare Blog
- Posted by Michael Gagan
Navigating Medicare Part D prescription drug coverage requires staying ahead of annual updates that impact plan pricing, benefits, and options. On July 28, 2026, the Centers for Medicare & Medicaid Services (CMS) released its preliminary technical Part D bid data for Contract Year 2027. These early numbers give insurers and beneficiaries a clear view of where prescription coverage costs are headed under the fully implemented Inflation Reduction Act (IRA) redesign.
Every summer, CMS calculates baseline figures that set the stage for next year's individual plan premiums:
National Average Monthly Bid Amount (NAMBA): $296.05
The NAMBA represents the average estimated cost plan sponsors submit to cover basic Part D drug benefits for an average enrollee. Essentially, this is the "average" annual amount that a person with a Part D prescription drug plan costs that insurance company.
Base Beneficiary Premium: $41.33
The base beneficiary premium serves as the standard starting point for calculating basic Part D plan premiums. Under the Inflation Reduction Act's stabilization rules, the annual increase for the drug plan premium is capped at 6% per year through 2029 to prevent sudden price spikes for seniors.
In 2025, CMS introduced the "Premium Stabilization Demonstration" project to cushion standalone prescription drug plans (PDPs) during the transition to major Inflation Reduction Act structural reforms—including the new $2,000 annual out-of-pocket cap on prescription drugs. The goal was to minimize plan volatility and protect beneficiaries from abrupt premium swings while insurers adjusted to new risk-sharing rules. This meant the government gave insurance companies that offered prescription drug plans a subsidy to help keep drug plan premiums, deductibles, and copays low. This was done on a trial basis so insurance companies could figure out and adjust the amounts they charged seniors for their plans.
In simple terms, this means you can expect to see your prescription drug plan premiums (if you have a stand-alone drug plan), the deductible they charge, the drugs they include on their formulary and which Tier each drug is on, and the copays they charge for each Tier. The maximum deductible that will be allowed for a prescription drug plan in 2027 will be $700 (increased from $615 in 2026), and the maximum you will spend for the year if you add your deductible and copays together throughout the year will be $2,400 (which was an increase from $2,100 in 2026).
Because plan offerings, formularies (drug lists), and monthly costs adjust every year, reviewing your coverage during the Annual Enrollment Period (Oct 15 – Dec 7) remains the single best way to avoid unexpected out-of-pocket expenses.
- Posted by Michael Gagan
Financial scams are everywhere these days, and no one is immune. And sometimes it leaves us older adults with no way to recoup our losses. Worldwide, people age 60 and over lose billions of dollars combined to fraud each year. Behind that shocking figure? Tens of thousands of very real people who have been robbed of their savings and financial security. Fraudsters and con artists tend to go after older adults because they believe they have plenty of money in the bank. But they don't just target wealthy older Americans. Those who live on low incomes also can be victims of fraud. Plus, many people are embarrassed to report financial scams. And they can be tough to prosecute. Criminals therefore consider these crimes “low-risk.”
Here are five scams that top the list of complaints for seniors. Beware of these:
1. The person-in-need and grandparent scams
The grandparent scam is so effective because it exploits people's emotions. First, a caller gains trust by tricking their target into volunteering information, like a grandchild's name. They may say something like, "Hi Gram, do you know who this is?" Then, with that name at the ready, they impersonate the grandchild. In this scam, fake grandchildren ask for help with car repairs, late rent, a medical emergency, or even to post bond. They pretend to be in distress. They may even beg the grandparent not to tell anyone. People who run grandparent scams often ask to be paid through gift cards or wire transfers. These don't always require identification to collect, which means victims have no way to ever recover their money.
2. Financial services scams
These cons work because they appear to come from a legitimate source: a bank, a mortgage company, or a debt collection agency. Scammers call, text, or send email messages that look and sound perfectly legitimate. They may claim that a checking or savings account has been compromised and ask for personal information, such as a password or Social Security number, to "secure" it. They may promise better rates or terms on a home loan. Or they may threaten arrest for unpaid medical bills — which may or may not exist. Scammers can easily fake the information on Caller ID. They know how to make email addresses and links look real. And they often will use threatening language to scare their victims into volunteering sensitive information or sending money.
3. Tech support scams
These scams prey upon the doubts and discomforts that many people have around computers. In fact, when it comes to fraud committed against older adults, tech support scams nearly always top the list, or come close.¹ How do they work? Typically, a person's computer or phone screen will freeze or go blank. A pop-up message will appear with a phone number to dial for help. When the user calls it, the scammer on the other end will ask for permission to log on to the device remotely. This fake "tech support" representative also may demand a fee to repair the "issue."
4. Government impersonation scams
In government impersonation scams (also known as government imposter scams), callers pretend to be from the Internal Revenue Service (IRS), Social Security Administration, or Medicare. They threaten to arrest or deport the person who picks up the phone if they don't pay their "unpaid taxes." Or, they may threaten to cut off Social Security or Medicare benefits unless the person provides personal details. This information can then be used to commit identity theft. Government imposters may demand prepaid debit cards, cash, or wire transfers as payment.
5. Romance scams
As more people turn to online dating, con artists are seizing the opportunity. Romance scammers create fake social media profiles and use them to gain trust and steal money. In some cases, these scammers may be (or pretend to be) overseas. They may ask their victims to pay for visas, medical emergencies, and travel expenses to come to the U.S. Romance scams can drag out for a long time. As a result, victims often lose a lot of money. In one recent incident, a California widow lost $700,000 to a man who contacted her and cultivated what she believed to be a true friendship over the online app WeChat.
- Posted by Michael Gagan
A 2016 law creating the nonpartisan America250 commission mandated that a time capsule be buried in Philadelphia on July 4, 2026, and dug up 250 years later in 2276. Last week, the resulting 900-pound cylinder was sealed shut, capping years of technical design & construction, collaboration with states and meticulous review of collected items. The capsule was designed and built by the National Institute of Standards and Technology.
- Posted by Michael Gagan
Are you ready for the changes coming to Medicare in 2026? They’re designed to make healthcare more affordable and accessible for you, but staying informed is key to getting the most out of your benefits. Whether you’re on Medicare Advantage, a Part D plan, or traditional Medicare, these updates will directly impact your coverage, your costs, and your peace of mind.
1. Lower Caps on Prescription Costs
If you’ve been spending thousands at the pharmacy, relief is in sight. Starting in 2026, Medicare is capping out-of-pocket costs for prescription drugs under Part D at $2,100 for the year. This small increase from 2025’s $2,000 cap still represents a huge improvement compared to past years, when there was no maximum limit. Even better? Medicare is stepping in to negotiate prices on high-cost prescription drugs. This change could mean paying less for the medications you rely on every day.
- Posted by Michael Gagan
Over half of U.S. adults might benefit from GLP-1 drugs, which are transforming care for people who are overweight or obese, or who have diabetes or cardiovascular disease. The drugs are expensive, however, costing around $1,000 a month. Even the cheaper GLP-1s can cost hundreds of dollars monthly. The high cost and large potential patient population for GLP-1 medications threaten the budgets of insurers and states. Among the remedies are a forthcoming Medicare-Medicaid program in which drug manufacturers may offer lower GLP-1 prices and weight-loss lifestyle interventions to some enrollees. Another is a White House agreement with Novo Nordisk and Eli Lilly to cap GLP-1 prices at no more than $350 a month, including for Medicare and Medicaid beneficiaries. Insurers may respond to lower GLP-1 prices by increasing restrictions, which are already stringent. Insurers have sharply raised cost-sharing for GLP-1s in recent years and increased the use of prior authorization, which requires doctors to obtain prescription drug plan approval before prescribing GLP-1s.
Read more: Patients Face New Barriers for GLP-1 Drugs Like Wegovy, Mounjaro and Ozempic
- Posted by Michael Gagan
If you are on original Medicare plus a Medicare Supplement plan (Medigap plan) and you’ve noticed an increase in your Medicare Supplement premium, you’re not alone. As you know, you usually see two insurance premium changes each year on your Supplement plan. One happens in the spring or summer, and then those rates are usually locked in for 12 months. The other rate increase happens yearly during your birthday month. Here are a few simple reasons why this happens.
Read more: Why Have Medicare Supplement Insurance Plan Rates Increased
- Posted by Michael Gagan
GLP-1 (glucagon-like peptide-1) receptor agonists are prescription medications originally developed to treat Type 2 diabetes. Several brands have expanded FDA indications to include cardiovascular risk reduction and chronic weight management. Common examples include: Ozempic, Wegovy, Mounjaro, and Zepbound. Because they are frequently in the news, many Medicare beneficiaries are asking: “Does Medicare cover these medications?”
Read more: Medicare & GLP-1 Medications: What You Should Know
- Posted by Michael Gagan
Making smart food choices is an important part of healthy aging. Understanding the different food groups and how much of each should make up your diet can help you form a healthy eating pattern over time. We look at the main food groups and other important nutrients recommended for older adults. It is important to get the recommended amount of each food group without exceeding your daily calorie limit. Keep in mind that the amount you should eat to maintain your weight depends on your age, sex, and level of physical activity.
- Posted by Michael Gagan
As winter nears, getting sick might seem inevitable. However, while we can’t completely avoid seasonal germs, we can take steps to avoid a flu infection. This is especially important as we get older, when our immune system isn’t as robust as it used to be—and serious illness and complications from the flu are more likely. The Centers for Disease Control and Prevention (CDC) estimates that 70-85% of seasonal flu-related deaths and 50-70% of seasonal flu-related hospitalizations occur in people age 65 and older.
How can older adults prevent the flu? Below are seven simple yet effective flu prevention tips tailored for older adults.
- Posted by Michael Gagan
As families gather for the holidays, there’s a conversation many are avoiding—but shouldn’t. The numbers around caring for aging parents have shifted dramatically, and the financial implications are impossible to ignore.
Quick Facts That Might Surprise You