Medicare Part D plans in California

Medicare Part D covers prescription drugs through private plans approved by Medicare. You can get it as a standalone plan alongside Original Medicare (and usually a Medigap policy), or built into most Medicare Advantage plans.

What changed for 2026

• The out-of-pocket cap is $2,100. After you reach it, covered drugs cost you nothing for the rest of the year. The cap continues the redesign that ended the old “donut hole.”
• The maximum deductible is $615. Plans may set it lower.
• The Medicare Prescription Payment Plan lets you spread pharmacy costs across the year in monthly installments instead of paying at the counter. It does not lower your cost; it smooths it.
• Fewer standalone plans and higher premiums in many states, as several national carriers pulled back for 2026.

How to choose a Part D plan

Every Part D plan has a formulary — its list of covered drugs and the tier (and cost) for each — and a pharmacy network with preferred pharmacies that cost less. The same drug can be $5 on one plan and $95 on another. So we start with your medication list and your pharmacy, not the premium, and check whether Costco, CVS, Walgreens, Rite Aid’s successors or your independent pharmacy is preferred.

The late-enrollment penalty

If you go 63 or more days in a row without creditable drug coverage after your Initial Enrollment Period ends, Medicare adds 1% of the national base premium ($38.99 in 2026) for every month you went without, to your premium, for as long as you have Part D. If you do not take medications now, a low-premium plan is cheap insurance against that penalty.

Wildfires and your prescriptions

When a wildfire produces a federal or state emergency declaration, Part D plans in the affected area must let you refill early, replace lost medications, and use out-of-network pharmacies at the plan’s usual allowance. If you evacuate, call the number on your card before you assume a refill will be denied. Our wildfires page covers the enrollment side too.

Help paying for Part D

Extra Help (the Low-Income Subsidy) lowers premiums, deductibles and copays for people with limited income and resources. If you qualify for one of California’s Medicare Savings Programs through Medi-Cal, you get Extra Help automatically. Note that the Medi-Cal asset limit returned on January 1, 2026; our Medicare + Medi-Cal page explains what it means for the Savings Programs.