Medicare Part D Stand-Alone Drug Costs Are Going Up in New Jersey in 2027

Do you have Original Medicare and pay for a separate Part D drug plan (also called a stand-alone PDP)? If so, you need to watch your mail. Your costs and coverage will likely change in 2027.

Every year, Part D drug plans can change their prices. They can raise your monthly bill, increase your deductible, or change which drugs they cover.

In 2025 and 2026, a temporary government rule kept drug plan prices from going up too fast. But that rule ends at the end of 2026.¹

Because that protection is ending, you might see a surprise price hike. If you are shopping for a new drug plan to avoid high costs, it is the perfect time to look at an all-in-one Clover Health Medicare Advantage plan.

Several important Part D amounts will go up on January 1, 2027.

The Part D Deductible Can Be as High as $700

A deductible is the amount you pay out of your own pocket before your plan helps you. In 2026, the standard Part D deductible is $615. It will rise to $700 in 2027.²

That is an increase of $85, or about 14%. 

Paying $700 before you get help with your medicines is tough. This is a big reason why many people switch to a Medicare Advantage plan that includes drug coverage with a lower deductible.

The Yearly Out-of-Pocket Limit Will Be $2,400

The out-of-pocket limit is the most you have to pay for covered drugs in a year. Once you hit this limit, your covered medicines are free for the rest of the year.

This limit was $2,000 in 2025. It went up to $2,100 in 2026. In 2027, it will rise again to $2,400.² 

This is a 6% bump. Remember, this is just a base number. Your actual separate drug plan bill could be much higher. Instead of paying this extra monthly bill, you could choose a Clover Health Medicare Advantage plan. Many of our plans include drug coverage for a $0 monthly premium.

Prescription Cost and Coverage May Change

If you have a stand-alone Medicare Part D drug plan, review your monthly premium, copays, and covered medications for 2027. A temporary government program that limited premium increases for the past two years is ending, which could mean higher monthly premiums.³ ¹

Also check your plan’s formulary, which is the list of drugs it covers, to see whether coverage for your prescriptions will change. A medication could move to a more expensive tier, have new coverage rules, or no longer be covered.

Your costs will depend on:

• The plan you choose
• Where you live
• The drugs you take
• Whether you receive state or federal assistance

Reviewing your coverage every year can help you:

• Avoid surprise pharmacy bills
• Make sure your drugs are still covered
• Find a plan with lower premiums or copays
• See if an all-in-one plan is a better deal

Never stop taking medicine without talking to your doctor. But do look for a plan that covers what you need at a better price.
 

Do not just look at the monthly bill. If you are tired of paying for a separate drug plan, see if bundling your health and drug coverage together can save you money. 

Could Medicare Advantage Help You Save?

Why pay for a separate drug plan when you can get it included? A Medicare Advantage plan bundles your hospital, doctor, and prescription drug coverage into one simple plan.

Many Clover Health Medicare Advantage plans have a $0 monthly premium. Plus, they give you extra benefits that Original Medicare does not, like dental, vision, and hearing care. 

Stop Paying Extra for a Separate Drug Plan

Compare Clover Health plans and see how much you could save by bundling your coverage. 

Explore 2027 Clover Health Medicare Advantage plans in New Jersey.  
 

Are separate drug plans costing you too much? It is time to see the Clover Health difference.

Clover Health PPO plans give you more freedom to choose your doctors. You can see both in-network and out-of-network providers, and you do not need a referral.*

These plans also include a yearly maximum out-of-pocket (MOOP) limit for covered medical care. Once you reach that limit, the plan pays the covered medical costs for the rest of the year.

Best of all, prescription drug coverage is built into the plan. You do not have to buy and pay for a separate Part D prescription drug plan (PDP).

New Jersey Plan Highlights

Don’t settle for rising costs. See how much you get with the Clover Health Choice Value PPO (007) in New Jersey:

• $36.30 Monthly plan premium ($0 if you have PAAD)
• Built-in Part D prescription drug coverage
• $0 for Tier 1 drugs and $8 for Tier 2 drugs (30-day supply at a retail pharmacy)
• $0 copay to see a primary care doctor (in-network and out-of-network)
• $2 copay to see an in-network specialist
• $145 every three months to buy over-the-counter (OTC) health items
• $2,500 a year for dental care
• $300 a year for eyewear
• Up to $400 a year in LiveHealthy reward dollars†
• Free gym membership
• Plus, so much more!

Compare Medicare plans, click here.

Why You Should Review Your Coverage Every Year

Your health changes, and Medicare plans change too. If you are shocked by the price of your separate drug plan for 2027, you have the power to switch.

Comparing your options lets you see if a Clover Health all-in-one plan can give you the exact same drugs for less money, while adding great benefits like dental and vision care.

Looking at your choices does not mean you have to switch. But it gives you the facts you need to make the smartest choice for your wallet.

If you have questions or want help seeing if a Clover Health plan can save you money, contact us today. We are here to help. 

The Clover Health Editorial Team creates Medicare information that is easy to understand. Our goal is to help you get the best coverage for your money. Licensed insurance experts, healthcare writers, and Clover Health clinical specialists write and review our articles. Each article is checked for accuracy, clarity, and Medicare marketing rules.

Sources:

¹Centers for Medicare & Medicaid Services. Medicare Part D 2027 National Average Monthly Bid Amount Information

² Centers for Medicare & Medicaid Services. 2027 Medicare Advantage and Part D Rate Announcement and Benefit Parameters

³ U.S. Government Accountability Office. Medicare Part D: Implementation of Beneficiary Premium Stabilization Demonstration

⁴ New Jersey Division of Aging Services. Pharmaceutical Assistance to the Aged and Disabled

NJ Save Application

⁵ Centers for Medicare & Medicaid Services, 2027 Medicare Advantage and Part D Rate Announcement, Table V-2

Medicare.gov. Help With Drug Costs

Medicare Plan Compare

*Out-of-network providers do not have to treat Clover Health members except in an emergency. Review your Evidence of Coverage or call the plan for more information. †LiveHealthy reward dollars cannot be used to buy alcohol, tobacco products, or firearms. They cannot be exchanged for cash. Other limits may apply. Call Clover Health or review your plan materials for details.