Goodsurance

Medicare Advantage

2027 Medicare Advantage Plans Are No Longer Required to Send Mid-Year Reminders About Unused Extra Benefits

A KFF analysis of the 2027 Medicare Advantage final rule finds CMS added point-of-sale guardrails for plan-issued benefit debit cards and required public posting of special-benefit eligibility criteria, while eliminating a notification requirement that would have prompted enrollees to use supplemental benefits they had not yet claimed.

By the Goodsurance editorial teamOctober 20, 2026

With Medicare's annual enrollment period underway through December 7, enrollees comparing 2027 Medicare Advantage plans should be aware of specific consumer protection changes taking effect January 1, according to a KFF analysis of the Contract Year 2027 final rule.

On the protective side, plans that issue debit cards to administer supplemental benefits such as dental allowances or over-the-counter spending accounts must now verify purchases electronically at the point of sale. The guardrail means that a plan-issued benefit card will show whether an item is covered at checkout rather than after the transaction. Separately, plans that offer Special Supplemental Benefits for the Chronically Ill, a category of enhanced benefits restricted to members with qualifying health conditions, are now required to post eligibility criteria publicly so prospective enrollees can assess whether they qualify before choosing a plan.

Starting in 2027, Medicare Advantage plans no longer have to remind you about benefits you have not used. KFF explains what changed and what to watch for during open enrollment.

On the rollback side, CMS eliminated a rule, originally finalized in 2024 but never fully enforced, that would have required plans to send each enrollee a personalized letter between June 30 and July 31 listing supplemental benefits the member had not used in the first half of the year. CMS cited survey data showing 70 percent of enrollees had used at least one supplemental benefit and noted that benefit details are already available in annual plan documents. CMS also pointed to the operational burden the mailing would place on plans, particularly smaller ones that draw data from multiple vendors.

KFF concluded that the 2027 final rule both enhanced and rolled back consumer protections. For enrollees shopping during the current window, the practical effect is that tracking unused benefits such as dental allowances, fitness perks, or over-the-counter cards will fall to the individual, without a plan-triggered mid-year prompt.

In plain words

If you are choosing or keeping a Medicare Advantage plan for 2027, here are two things that changed.

Good news: If your plan gives you a debit card for extras like dental care or over-the-counter items, the card now has to show right at the register whether an item is covered. That means fewer surprises after you pay.

Also good: Plans that offer special benefits only for members with certain health conditions must now post the rules about who qualifies. You can check that before you sign up.

What was removed: Plans used to be required to mail you a letter in the summer telling you which extra benefits you had not used yet. That rule is now gone. Starting in 2027, you will need to check on your own. If your plan includes a dental allowance, a food benefit, or a card for over-the-counter items, make a note to use those benefits before the year runs out.

Understand the basics first

Source: KFF
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