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CMS Ends Medicare Part D Subsidy, Saving $3.6B as Most Seniors Face Under $10 Premium Rise

The Centers for Medicare & Medicaid Services is ending a temporary Medicare Part D subsidy that cut prescription premiums for about 25 million beneficiaries and offset roughly $16 of the average $36 monthly premium.The Trump administration says the move saves taxpayers $3.6B in 2026 and will push most seniors to premiums less than $10 higher per month, while Democrats and advocacy groups warn it increases costs for older Americans during a critical election season.Beneficiaries will learn 2027 premiums in the fall and can shop plans during open enrollment, but CMS offers limited detail on how other measures to reduce drug prices will make up for the discontinued subsidy.
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