Story perspectives

Trump Ends Medicare Part D Subsidy; Premiums Hit $41.33

7/29/2026

Center

Trump Ends Medicare

U.S. President Donald Trump’s administration announced that CMS will terminate the Medicare Part D Premium Stabilization Demonstration after 2026 plan year.
Insurers, now deemed to have sufficient pricing experience, are expected to raise premiums by less than $10 for most beneficiaries.
CMS projects the 2027 national base beneficiary premium at $41.33, up from $38.99 in 2026.
The program provided roughly $3.6 billion in federal support in 2026 and covered about 25 million beneficiaries.

Left

Trump Ends Part-D

U.S. President Donald Trump announced Centers for Medicare & Medicaid Services will end Medicare Part D Premium Stabilization Demonstration after the 2026 plan year.
Ending the subsidy threatens millions of seniors with costs, deepening an affordability crisis that could force them to choose between lifesaving medicines and basic needs.
The program had cut average Part D premiums by more than 25% this year.

Blindspot

The administration’s decision could worsen an affordability crisis for millions of seniors on fixed incomes, potentially forcing them to choose between lifesaving prescriptions and basic necessities, according to advocacy group Protect Our Care.
Within this story's sources, this angle appears mainly in Left-leaning coverage and receives less attention in Center-leaning coverage.

History

Historical Context

Congress passed the Medicare Prescription Drug, Improvement, and Modernization Act on Dec 8 2003, signed by President George W. Bush, launching Part D on Jan 1 2006 to give seniors subsidized drug coverage. After the ACA closed the “donut-hole” in 2010, the program now serves about 25 million beneficiaries; the 2024 CMS decision to end the Premium Stabilization Demonstration revives debate over the original 2003 subsidy framework.

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Trump Ends Medicare

U.S. President Donald Trump’s administration announced that CMS will terminate the Medicare Part D Premium Stabilization Demonstration after 2026 plan year.
Insurers, now deemed to have sufficient pricing experience, are expected to raise premiums by less than $10 for most beneficiaries.
CMS projects the 2027 national base beneficiary premium at $41.33, up from $38.99 in 2026.
The program provided roughly $3.6 billion in federal support in 2026 and covered about 25 million beneficiaries.

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