Medicare Annual Enrollment Period (AEP) 2026: A Simple Guide

The Annual Enrollment Period (AEP) is one of the most intriguing times of the year for Medicare beneficiaries. 

It’s one of the main times for people to review their coverage and settle on the right plan fit for their needs for the following year. 

In this article, we’ll go over what to know about the Annual Enrollment Period, what types of plans you can join, and expensive mistakes to avoid. 

What Is the Annual Enrollment Period?

The Annual Enrollment Period (AEP) is a Medicare enrollment window that runs from October 15 to December 7 every year. During this time, beneficiaries can join or drop Medicare Advantage plans and standalone Medicare Part D prescription drug plans. All changes made during the Annual Enrollment Period take effect on January 1 of the following year. 

Medicare Advantage plans (also known as Medicare Part C) and standalone Medicare Part D Plans typically change their terms every calendar year. They may increase their premiums, increase cost sharing, change their drug formularies, change their extra perks, and make several other changes. 

Plans are required to send their beneficiaries an Annual Notice of Changes letter (ANOC) by September 30. This letter goes over all the plan’s upcoming changes for the following year. 

Note: If you haven’t received your ANOC by mail or email by September 30, contact your plan. You may also contact us at +1 877-360-6565 (TTY: 711) and we can typically help you look it up. 

If you’re unhappy with your plan’s upcoming changes, or if you’ve found another plan that you’d like to join, the Annual Enrollment Period is an opportunity for you to secure the right plan fit for you for the following year. 

Annual Enrollment Period Important Dates

Annual Enrollment Period Important Dates

Here are some important dates you may want to mark on your calendar:

• September 30: Deadline for plans to send beneficiaries their Annual Notice of Changes (ANOC) letter

• October 1: Plans release their details for the following year. Beneficiaries may start looking at their options

• October 15 – December 7: Annual Enrollment Period

• January 1 – Plan changes made during the Annual Enrollment Period take effect

• January 1 – March 31: Medicare Advantage Open Enrollment Period

What Changes Can You Make During the Annual Enrollment Period (AEP)? 

There are several plan changes you can make during the Annual Enrollment Period:

Medicare Advantage to Medicare Advantage 

One of the most common plan changes people make during the Annual Enrollment Period is switching from one Medicare Advantage plan to another Medicare Advantage plan in their area. 

Original Medicare to Medicare Advantage 

If you don’t have a Medicare Advantage plan, you can join one during the Annual Enrollment Period.

However, keep in mind that when you join a Medicare Advantage plan, you’ll start getting your coverage through your Advantage plan instead of Original Medicare.

If you join a Medicare Advantage plan during the Annual Enrollment Period, and you’re already enrolled in a standalone Medicare Part D prescription drug plan and a Medicare Supplement (Medigap) plan, those older coverages generally won’t continue once your Medicare Advantage plan takes effect on January 1.

You may need to disenroll from your Medicare Supplement Plan yourself in this scenario. Most of the time, Medicare or a licensed insurance agent cannot do this step for you. So contact your insurance company and let them know that you’re joining Medicare Advantage and wish to disenroll (Standalone Medicare Part D plans usually disenroll you automatically if you switch to a Medicare Advantage plan).

Standalone Medicare Part D

If you’re on Original Medicare, you can join a standalone Medicare Part D (prescription drug) plan during the Annual Enrollment Period. You may also switch to another standalone Medicare Part D plan during this period if you already have one. 

Plan changes will take effect on January 1 of the following year. 

Medicare Advantage to Original Medicare 

If you’re currently on a Medicare Advantage plan, you can disenroll and return to Original Medicare during the Annual Enrollment Period. 

You can then join a standalone Medicare Part D prescription drug plan and apply for a Medicare Supplement plan. 

However, you may need to medically qualify for a Medicare Supplement plan in this scenario. If you have a pre-existing health condition, Medicare Supplement plans may decline your application (unless you qualify for “Guaranteed Issue Rights”). 

What Changes Can You Make During the Annual Enrollment Period (AEP)? 

There are several plan changes you can make during the Annual Enrollment Period:

Medicare Advantage to Medicare Advantage 

One of the most common plan changes people make during the Annual Enrollment Period is switching from one Medicare Advantage plan to another Medicare Advantage plan in their area. 

Original Medicare to Medicare Advantage 

If you don’t have a Medicare Advantage plan, you can join one during the Annual Enrollment Period.

However, keep in mind that when you join a Medicare Advantage plan, you’ll start getting your coverage through your Advantage plan instead of Original Medicare.

If you join a Medicare Advantage plan during the Annual Enrollment Period, and you’re already enrolled in a standalone Medicare Part D prescription drug plan and a Medicare Supplement (Medigap) plan, those older coverages generally won’t continue once your Medicare Advantage plan takes effect on January 1.

You may need to disenroll from your Medicare Supplement Plan yourself in this scenario. Most of the time, Medicare or a licensed insurance agent cannot do this step for you. So contact your insurance company and let them know that you’re joining Medicare Advantage and wish to disenroll (Standalone Medicare Part D plans usually disenroll you automatically if you switch to a Medicare Advantage plan).

Standalone Medicare Part D

If you’re on Original Medicare, you can join a standalone Medicare Part D (prescription drug) plan during the Annual Enrollment Period. You may also switch to another standalone Medicare Part D plan during this period if you already have one. 

Plan changes will take effect on January 1 of the following year. 

Medicare Advantage to Original Medicare 

If you’re currently on a Medicare Advantage plan, you can disenroll and return to Original Medicare during the Annual Enrollment Period. 

You can then join a standalone Medicare Part D prescription drug plan and apply for a Medicare Supplement plan. 

However, you may need to medically qualify for a Medicare Supplement plan in this scenario. If you have a pre-existing health condition, Medicare Supplement plans may decline your application (unless you qualify for “Guaranteed Issue Rights”). 

Annual Enrollment Period vs Other Enrollment Periods

What’s the Difference Between the Initial Enrollment Period (IEP) and the Annual Enrollment Period (AEP)? 

Most people become eligible to join Medicare during their Initial Enrollment Period (IEP). Meanwhile, the Annual Enrollment Period (AEP) is for people who are already on Medicare. 

Your Initial Enrollment Period typically starts 3 months before your 65th birth month, runs through your birth month, and ends 3 months after your 65th birth month. 

During your Initial Enrollment Period, you can sign up for Medicare and join either a Medicare Supplement Plan + a standalone Medicare Part D prescription drug plan, or a Medicare Advantage Plan. 

You don’t have to wait for the Annual Enrollment Period to join these plans if you sign up during your Initial Enrollment Period. 

What’s the Difference Between the Annual Enrollment Period (AEP) and the Medicare Advantage Open Enrollment Period (MA OEP)? 

The Medicare Advantage Open Enrollment Period (MA OEP) is an enrollment window for people on Medicare Advantage plans. It runs from January 1 to March 31 every year, and allows people to switch to another Medicare Advantage plan, or drop their Advantage plan and return to Original Medicare. 

Unlike the Annual Enrollment Period, if you’re not already on a Medicare Advantage plan, you typically cannot join one during this period. Normally, you can only make one plan change during the MA OEP (unlike the AEP where you can usually make several plan changes before the period ends). 

If you drop your Medicare Advantage plan during this period, you may typically enroll in a standalone Medicare Part D prescription drug plan. However, if you are already on Original Medicare and have a standalone Medicare Part D prescription drug plan, you generally cannot switch to another prescription drug plan during the MA OEP. 

The Medicare Advantage Open Enrollment Period is widely known as an opportunity to correct any mistakes made during the Annual Enrollment Period.

What’s the Difference Between the Annual Enrollment Period (AEP) and the Open Enrollment Period? 

“Open enrollment period” can refer to several different enrollment windows: 

• Annual Enrollment Period (AEP) – Some people call the AEP the “Open Enrollment Period.” While others call it the “Annual Election Period.” Many people use these terms interchangeably, but “Annual Enrollment Period” is technically correct.

• Medicare Advantage Open Enrollment Period (MA OEP) – Many people refer to the MA OEP simply as the “Open Enrollment Period.” 

• Medigap Open Enrollment Period – The Medigap Open Enrollment Period is a 6-month window that starts when your Medicare Part B coverage begins. During this period, you can enroll in any Medicare Supplement plan in your area without having to pass medical underwriting. 

If someone mentions the “Open Enrollment Period,” they are usually referring to one of these three periods. 

4 Things to Ask Before Switching Plans

Some people make the mistake of only looking at plan premiums before switching. 

While that is important, there are four other questions to ask before switching plans during the Annual Enrollment Period. 

#1: Does the New Plan Cover Your Doctors?

Medicare Advantage plans have networks of doctors and hospitals that they work with. 

If you sign up for a Medicare Advantage Health Maintenance Organization (HMO), the plan typically won’t cover you for out-of-network services unless it’s an emergency. 

If you sign up for a Medicare Advantage Preferred Provider Organization (PPO), the plan may cover you out-of-network, but for generally higher costs. 

#2: Does the New Plan Cover Your Prescription Drugs?

Prescription drugs can be one of the most expensive parts of healthcare. Which is why when you’re looking for a new plan, check the plan’s drug formulary first. 

A drug formulary is the list of drugs covered by the plan and how much it costs per refill. 

Formularies are typically divided into tiers, with each tier having a fixed copay or coinsurance amount. 

Most Medicare Advantage plans have built-in prescription drug coverage. However, some do not. 

#3: Does the New Plan Cost More?

Aside from monthly premiums, you should also check a plan’s:

• Deductible – the amount you have to pay out-of-pocket first before the plan starts covering you.

• Copays – a fixed dollar amount that you pay for covered services. You may see how much you have to pay with the plan by reading its coverage summary.

• Coinsurance – a percentage of the total bill that you’re responsible for paying. Check a plan’s coverage summary to see if any services require coinsurance. 

• Maximum Out-of-Pocket Limit (MOOP) – the most that you can spend out-of-pocket (premiums not included) in a year with the plan. Once you’ve spent the plan’s MOOP out-of-pocket, your plan takes over, and you’re done paying for covered services for the year. 

#4: Does the New Plan Have Extra Perks? 

Read the plan’s coverage summary to see how it covers things like dental, vision, and hearing — and to see the plan’s extra perks.

Why Some People Make Changes During the Annual Enrollment Period

There are several reasons why people make plan changes during the Annual Enrollment Period. 

Some of the most common reasons include:

Drug Plan Changes

Both Medicare Advantage plans with built-in prescription drug coverage and standalone Medicare Part D prescription drug plans generally make changes to their drug formularies every year. 

Plans can add or remove drugs from their formulary, move drugs to different tiers (which affects how much the beneficiary pays per refill), and can change the cost per refill per tier every year. 

That’s why it’s critical to read your plan’s Annual Notice of Changes (ANOC) letter in September, so you’ll know what’s happening to your drug coverage for the following year.

People who find that their current plan has removed their prescription drugs from its formulary (or moved the drug to a higher tier) often shop during the Annual Enrollment Period for a plan that covers their drugs at a lower cost.

Network Changes

Medicare Advantage plans have a network of doctors and hospitals that they work with to provide lower-cost healthcare to beneficiaries. However, you may not be able to receive care outside of your plan’s network in non-emergencies. 

Medicare Advantage plans can make changes to their networks throughout the year.

When people have a preferred doctor move out of their plan’s network, this often prompts them to seek another plan that the doctor accepts during the Annual Enrollment Period.  

They often either look for another Medicare Advantage plan, join a Preferred Provider Organization (PPO) Medicare Advantage plan (which allows you to go out-of-network for generally higher fees), or try to medically qualify for a Medicare Supplement plan. 

Increasing Premiums

People who are on Medicare Supplement plans usually have their monthly premiums increase every year (sometimes twice a year). 

These people often also have a standalone Medicare Part D prescription drug plan (which has a separate premium), and they’re usually also paying the Medicare Part B premium. 

We sometimes see that certain people find the premium increases of their Medicare Supplement plans too high for their budget, so they choose to switch to a Medicare Advantage plan during the Annual Enrollment Period. 

Medicare Advantage plan premiums may also increase every year. But generally speaking, rate increases with Medicare Advantage are usually much lower when compared to the rate increases of Medicare Supplement plans. 

New Plan in Their Area

Sometimes, people don’t join a new plan because they’re unhappy with their current plan; they switch because they find another plan that’s a better fit for their specific needs and wants. 

These people sometimes find plans that cover their prescription drugs at a lower price, include their doctors in the network, or have lower costs overall than their current plan. 

That’s why we encourage you to shop your options during the Annual Enrollment Period, even if you are okay with your current plan and its upcoming changes. 

Extra Perks

Some people switch plans during the Annual Enrollment Period because they find a plan with extra perks that are better suited for them. 

Many Medicare Advantage plans offer coverage for things Medicare doesn’t generally cover, such as dental, eye checkups and eyeglasses, hearing aids, and more. Some plans even offer transportation perks, over-the-counter cards, Flex Cards for groceries, gym memberships, and many other perks. 

People sometimes switch to plans with more perks if they offer similar coverage to their current plan. 

However, it’s important not to be carried away by these extras. Make sure that a plan’s healthcare coverage is the right fit for you before joining it because of its perks. 

Common Mistakes During the Annual Enrollment Period

Here are some of the most common mistakes we see people making during the Annual Enrollment Period.

#1: Assuming Your Plan Will Stay the Same

Every year in January, we see people shocked to find that their plan costs more, no longer covers their drugs, or no longer offers the same perks it did before. 

Some plans even close down at the end of the year, leaving people without full coverage on January 1 (unless they joined a new plan during AEP). 

That’s why every September, it’s critical to look out for your Annual Notice of Changes (ANOC) letter. 

This way, you can prepare for your plan’s upcoming changes, or shop around for a new one during AEP. 

#2: Not Checking Which Pharmacies Are In-Network

Aside from checking if your drugs are in a plan’s drug formulary, it’s also critical to check if your preferred pharmacies are in the plan’s network. 

Medicare prescription drug plans have networks of pharmacies that they work with. 

If you visit a pharmacy outside of your plan’s network, your drugs may not be covered, or you may have to pay higher fees. 

#3: Accidentally Switching Plans 

During the Annual Enrollment Period, there are usually many advertisements on television, online, and through the phone that promote plans with plenty of freebies (such as “free” dental, vision, and hearing). 

While there are plans with perks like these, many people sign up for these plans without realizing how it affects their healthcare coverage. These people sign up over the phone without first asking about the details (the four questions we’ve listed above). 

As a result, when January comes along, they may find that their drugs are no longer covered, their plan doesn’t cover their doctors, or their new plan costs them more than their previous plan. 

#4: Cancelling the Plan Too Early 

If you’re switching from Medicare Advantage to another Medicare Advantage plan, your old plan will automatically disenroll you once your new one takes effect. 

However, things aren’t as straightforward if you’re switching from Medicare Advantage to Original Medicare with a Supplement plan.

When switching from Medicare Advantage to Original Medicare and a Supplement plan, it’s important to apply for the Medicare Supplement plan first to see if you can pass medical underwriting. 

Only once you’ve passed medical underwriting should you cancel your Medicare Advantage plan, or enroll in a standalone Medicare Part D plan (which typically disenrolls you from Medicare Advantage automatically). 

#5: Forgetting to Cancel the Plan 

If you’re switching from Original Medicare and a Medicare Supplement plan to Medicare Advantage, keep in mind that your Medicare Supplement plan will not automatically disenroll you once your Medicare Advantage coverage begins. 

You usually have to call your insurance company yourself and inform them that you’re switching to Medicare Advantage. Licensed insurance agents usually cannot do this on your behalf. 

If you don’t do this, you may end up paying for your Medicare Supplement plan, even though it is no longer actively covering you. 

How to Make Changes During the Annual Enrollment Period

Making changes during the Annual Enrollment Period can be difficult. 

Not only do you have to consider a plan’s monthly premiums, out-of-pocket costs, networks, drug formulary, and perks…but in most areas, there are also dozens of plans to choose from. 

Going through and comparing all the plans’ coverage summaries and Provider and Pharmacy Directories can take hours upon hours to get through. 

The good news is…you don’t have to do this on your own. 

Here at PlanFit, we have a team of licensed insurance agents who can review all your plan’s upcoming changes, then dig through all the plans in your area to find the best one for you. 

Simply tell us your preferred doctors, which drugs you’re taking, and any other preferences you have, and we’ll do the hard work for you all at no cost to you. 

However, the Annual Enrollment Period (October 15 to December 7) is the busiest time of the year for us. So scheduling an appointment might be your best bet!

You can call or text our professional licensed insurance agents today at +1 877-360-6565 (TTY: 711), or click the button below to schedule an appointment for priority consultation.