Goodsurance

Drug prices & Part D

Free Drug Plans for Low-Income Medicare Enrollees Shrink to the Fewest Since Part D Began

The average number of zero-premium Part D plans available to Extra Help enrollees dropped to two per state in 2026, down from eight in 2021, according to KFF. Nationally, 88 benchmark plans remain, the lowest count since Part D launched in 2006.

By the Goodsurance editorial teamJuly 9, 2026

Medicare's Extra Help program, also called the Low-Income Subsidy, covers most or all prescription drug costs for qualifying enrollees. A key gateway is the benchmark plan: a stand-alone Part D drug plan priced below a regional threshold so Extra Help enrollees can join with no monthly premium.

In 2026, 88 benchmark plans are available nationwide, two fewer than in 2025 and the lowest total since Part D launched in 2006, according to a KFF analysis published in June 2026. The average Extra Help enrollee can choose among just two benchmark plans in their state, down from eight in 2021. In some states, only one benchmark plan is available.

Low-income Medicare enrollees now have an average of just two free drug plans per state to choose from, down from eight in 2021.

The decline reflects broader market pressures in the stand-alone Part D sector. The average monthly premium for a stand-alone drug plan reached 36 dollars in 2026, roughly four times the 8-dollar average for drug coverage inside a Medicare Advantage plan. Because benchmark eligibility is tied to a regional bid threshold, fewer stand-alone plans fall below that line as overall premiums move upward.

About 13.6 million people are enrolled in Extra Help in 2026. Those who lose access to a benchmark plan can still receive the subsidy but may owe a premium contribution if they stay in a plan priced above the regional threshold.

Enrollees can check current benchmark plan availability at Medicare.gov or by calling 1-800-MEDICARE.

In plain words

Extra Help is a program that pays for your drug plan if your income is low. It can mean paying zero dollars a month for your drug coverage.

To get a zero-dollar plan, you need to be in a free benchmark plan. But there are fewer and fewer of those each year.

In 2021, most states had eight free plans to pick from. In 2026, most states have only two.

About 13.6 million people use Extra Help. If there is no benchmark plan in your area, you may have to pay a small premium even with Extra Help.

You can check what free plans are available at Medicare.gov.

Source: KFF
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