Retirees, this may be the biggest mistake you make during Medicare Open Enrollment

You might not think of October as the most important month of the year for retirees. But it is significant for several reasons.

First, October is when the Social Security Administration typically announces cost-of-living adjustments for the coming year. This year, that announcement was delayed by more than a week due to the government shutdown. However, currently, social insurance recipients know that in 2026 expects a 2.8% increase.

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Second, October is when Medicare’s open enrollment period begins. From October 15 until December 7 Medicare students can make changes to their coverage, including:

  • Switching from one Part D drug plan to another

  • Switching from one Medicare Advantage plan to another

  • Transitioning from Medicare Advantage to Original Medicare

  • This is the first time you sign up for Medicare Advantage

However, there are some big pitfalls you can fall into when navigating your way to choosing a Medicare plan in 2026. And this is a mistake that you may very well regret.

When looking for a new Medicare plan, you can compare premium costs. But premiums are only one part of the puzzle. And if you base your decision solely on the cost of premiums, you could end up paying much more for your health care than you expected, not to mention the small benefits.

Your plan premium refers to the amount of money you pay each month for your coverage. But it doesn’t represent all your expenses.

For example, some Medicare Advantage and Part D plans have a $0 premium. But that doesn’t automatically make it the best plan for you.

There are other costs you’ll need to consider when choosing a Medicare plan, including:

  • Deductions

  • Pays for medicines

  • General insurance

  • Out-of-network costs

If you’re signing up for a Medicare Advantage plan, also recognize that different plans offer different benefits. A cheaper plan may cost you less, but also cover less. If you have to pay for certain services yourself, you could end up spending more next year, even though your plan has a lower premium.

Also, one known disadvantage of Medicare Advantage plans is that they limit you to a relatively narrow network of providers. Leaving your plan’s network may result in very high costs or no care for you at all.

You may be able to find a Medicare Advantage plan that is less expensive than other options in your coverage area. But if this plan doesn’t include your preferred service providers, you might want to reconsider.

After all, it takes time to build trust in doctors. Are you sure you want to give it up to save money?

The answer may be yes, depending on your circumstances. However, it is important to consider your service provider’s network when making your decision.

It’s natural to compare Medicare plan premium costs during open enrollment and call it a day, but there’s much more to the story. It’s important to understand all the costs you’re looking at for each coverage option so you know which plan is best for you.

And remember, it’s possible that the plan you currently have is actually the most cost-effective. You just won’t know until you look around and compare your options.

The good news is that you still have more than a month left to find a new Medicare plan before open enrollment ends. Allow yourself enough time so that you are not forced to rush through the process.

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Retirees, This Could Be the Biggest Mistake You’re Making With Medicare Open Enrollment was originally published by The Motley Fool

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