Medicare in 2025: What You Need to Know
Plan Ratings Have Gone Down
The average Medicare Advantage star rating in 2025 is 3.92 out of 5, weighted by enrollment, according to the Centers for Medicare & Medicaid Services. This is down from an average star rating of 4.07 in 2025 and represents the third year in a row that ratings have declined. Ratings also dropped for Medicare Part D plans, which have an average rating of 3.06 stars in 2025, weighted by enrollment. That’s down from an average of 3.34 stars in 2024.
Part D Out-of-Pocket Drug Costs are Capped
In 2025, Medicare Part D out-of-pocket costs for covered prescription drugs will be limited to $2,000. While this may seem like a win for the consumer, there may be secondary effects. Because drug plans are required to pick up more of the cost of medications, many plans have stopped covering some drugs, according to Diane Omdahl, president and co-founder of 65 Incorporated.
Some Medicare Advantage and Part D Plans Were Dropped
It’s important to review your Medicare coverage before Medicare open enrollment ends on December 7, 2025, as some providers merged or ended Medicare Advantage or Part D plans for 2025. If you haven’t read the Annual Notice of Change your insurer sent in September, give it a careful look.
Part A Costs Will Go Up
Medicare Part A covers inpatient care in hospitals and skilled nursing facilities, plus hospice care and some home health care. For most people, Medicare Part A is free because they’ve worked long enough to qualify for it. If you don’t qualify for premium-free Part A, you’ll pay up to $518 per month in 2025, compared to $505 per month in 2024.
Part B Costs Will Go Up
Medicare Part B covers medically necessary services such as doctor’s appointments and diagnostic tests, and preventive services such as vaccines and wellness visits. Part B comes with a monthly premium of $185 per month in 2025, up from $174.70 in 2024.
Conclusion
With changes to Medicare Advantage and Part D plans, it’s essential to review your coverage and choose a plan that best fits your healthcare needs. Make sure to check if your prescription drugs are still covered and consider seeking help from a State Health Insurance Assistance Program (SHIP) if you have questions or need guidance.
Frequently Asked Questions
Q: What is the average Medicare Advantage star rating in 2025?
A: 3.92 out of 5, weighted by enrollment.
Q: How much is the out-of-pocket limit for Medicare Part D out-of-pocket costs for covered prescription drugs in 2025?
A: $2,000.
Q: Why are some Medicare Advantage and Part D plans being dropped?
A: Some providers merged or ended Medicare Advantage or Part D plans for 2025.
Q: How much is the monthly premium for Medicare Part B in 2025?
A: $185.
Q: What is the inpatient hospital deductible for Medicare Part A in 2025?
A: $1,676 for each benefit period.
