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What is a Zero Premium Medicare Advantage Plan?

Reviewed by Russell Noga, Licensed Medicare Insurance Broker (all 50 states) — Last updated October 8, 2026

A zero premium Medicare Advantage plan charges no monthly plan premium, but you still pay your Part B premium plus copays, coinsurance and any deductibles when you use care.

Insurers fund $0 plans from Medicare’s payments to them. For 2027, the average plan premium falls to $12, and low averages in states like Arizona ($2.81) and Georgia ($2.99) show how common $0 plans can be, though availability depends on your county.

See Medicare Advantage 2027.

✔ Licensed in all 50 states
✔ Based on CMS 2027 data
✔ Free plan comparison

Key Highlights

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$0 plan premium, not $0 cost.

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Part B premium still applies.

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Copays and maximums matter.

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Availability varies by county.

Compare plans and enroll online

What $0 Does and Does Not Mean

What You Do Not Pay

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A monthly premium to the plan

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A separate Part D premium, on most $0 plans that include drugs

What You Still Pay

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The Part B premium ($202.90 in 2026; projected $209.50 for 2027)

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Copays and coinsurance

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Any medical or drug deductible

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Costs up to the out-of-pocket maximum

How $0 Plans Compare With Premium Plans

Feature Typical $0 Plan Typical Premium Plan
Monthly premium $0 Charges a premium
Copays Can be higher Can be lower
Out-of-pocket maximum Can be higher Can be lower
Network Often an HMO More likely to include PPO options
Extras May include dental, vision, hearing May include richer extras

General patterns only; every plan is different.

Clover Health is adding a new $0-premium PPO for 2027 in its service area, a reminder that $0 plans are not always HMOs. Compare networks and cost-sharing, not just plan type.

Zero-Premium Medicare Advantage Plans

Find & Compare Plans Online

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Seven Checks Before Choosing a $0 Plan

Check These

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Your doctors and hospitals are in the 2027 network

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Your medications appear on the formulary at an affordable tier

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The drug deductible (up to $700 for 2027)

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Specialist and hospital copays

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The yearly out-of-pocket maximum

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Prior authorization and referral rules

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The plan’s star rating

How Medicare Advantage Works

Medicare Advantage, also called Part C, is a way to get your Medicare benefits through a private insurance company approved by Medicare. The plan covers everything Original Medicare Part A and Part B cover, except hospice care, which Original Medicare still pays. Most plans also include Part D drug coverage, and many may add extras such as routine dental, vision and hearing benefits.

In exchange, Medicare Advantage plans generally use networks of doctors and hospitals, and may require referrals or prior authorization for some services. Every Medicare Advantage plan has a yearly out-of-pocket maximum for covered medical care, which Original Medicare does not have. You keep paying your Part B premium, plus your plan’s premium if it has one.

Feature HMO PPO
Out-of-network care Not covered except emergencies and urgent care Covered at a higher cost
Referrals for specialists Usually required Usually not required
Premiums Usually lower Usually higher
Out-of-pocket maximum In-network limit In-network limit plus a higher combined limit
Best for Lower costs, local care Flexibility, travel, keeping specific doctors

Benefits Plans May Include

Medicare Advantage Plans May Include

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Hospital and medical coverage, the same as Original Medicare Part A and B

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Part D prescription drug coverage on most plans

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Routine dental, vision and hearing benefits

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Fitness programs and over-the-counter allowances

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Telehealth visits and care coordination programs

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A yearly out-of-pocket maximum on every plan

Not all plans offer all benefits. Benefits vary by plan and county and can change for 2027. Check each plan’s Evidence of Coverage before you enroll.

Comparing Medicare Plans

How to Compare

How to Compare

1

Read your Annual Notice of Change. It lists every change to your current plan for 2027.

2

Check your doctors and hospitals. Confirm each provider is in the 2027 network, not just the 2026 one.

3

Check your prescriptions. Confirm each drug, its tier and any prior authorization or step therapy rules.

4

Compare total yearly cost. Add the premium, typical copays and drug costs, and look at the out-of-pocket maximum.

5

Check star ratings. Medicare rates plans from 1 to 5 stars on quality and service.

6

Enroll by December 7. Your new coverage starts January 1, 2027.

Enrollment Periods

Enrollment Period Dates What You Can Do
Annual Enrollment Period October 15 to December 7, 2026 Join, switch or drop a Medicare Advantage or Part D plan for January 1, 2027
Medicare Advantage Open Enrollment January 1 to March 31, 2027 If you are in Medicare Advantage, switch to another plan or return to Original Medicare once
Initial Enrollment Period 7 months around your 65th birthday month Sign up for Medicare and choose your first plan
Special Enrollment Periods Varies Change plans after events like moving, losing other coverage or your plan leaving your area

Most people make changes during Annual Enrollment. If you are happy with your current plan, you do not have to do anything; it renews automatically. Still, read your Annual Notice of Change, because premiums, copays, networks and drug lists can all change on January 1.

Reading Your Annual Notice of Change

Check Every Line

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Your 2027 premium and deductible

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Copays for doctors, specialists and hospital stays

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The out-of-pocket maximum

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Updates to your formulary, drug tiers and coverage requirements

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Whether your doctors, hospitals and pharmacy are still in network

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Changes to dental, vision, hearing and other extras

Plans must send the Annual Notice of Change by September 30. It is the single most useful document you get each fall, because it tells you exactly how your plan changes on January 1.

Special Enrollment Periods

Outside the fall and early-year windows, you generally need a Special Enrollment Period to change plans. Common reasons include:

You May Qualify If

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Your plan is leaving your area or ending

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You move outside your plan’s service area

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You lose employer or union coverage

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You qualify for Extra Help or a Medicare Savings Program, or your Medicaid status changes

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You want to join a 5-star plan, once a year

Each Special Enrollment Period has its own time limit, so act as soon as the event happens.

Prior Authorization and Referrals

Most Medicare Advantage plans require prior authorization for some services, such as certain surgeries, advanced imaging, skilled nursing stays and some drugs. Your doctor usually requests it, but ask whether a planned service needs approval so a denial does not surprise you.

If a request is denied, you or your doctor can appeal. Medicare rules set deadlines for plans to decide, with faster deadlines when waiting could seriously harm your health.

Emergency, Urgent and Out-of-Area Care

Every Medicare Advantage plan covers emergency care and urgent care anywhere in the U.S., in or out of network, and you do not need prior approval for an emergency. Routine care away from home is a different story: HMOs generally do not cover it, while PPOs cover out-of-network care at a higher cost.

If you spend months away from home each year, ask each plan how it handles care in your second location. It is one of the most common reasons people switch plans mid-year.

Appeals and Complaints

If your plan denies a service, a drug or payment for care, you have the right to appeal. The plan’s denial notice explains how. There are several levels of appeal, starting with the plan and moving to independent reviewers.

For problems that are not about coverage, such as customer service or wait times, you can file a grievance with the plan. You can also contact 1-800-MEDICARE or your State Health Insurance Assistance Program for help.

The 2027 Part B Premium

The Part B premium is the one big number not released with the plans. CMS normally announces it in November. The 2026 Medicare Trustees Report projects a 2027 standard premium of about $209.50 a month and a deductible of about $292, up from $202.90 and $283 in 2026. You keep paying it with Medicare Advantage.

If You Miss December 7

If you miss the Annual Enrollment deadline, your current plan renews automatically for 2027, with the changes in your Annual Notice of Change. If you are in Medicare Advantage, you get one more chance from January 1 to March 31, 2027, to switch Medicare Advantage plans or return to Original Medicare and join a Part D plan.

Telehealth

Many Medicare Advantage plans may cover telehealth visits for some services, sometimes at a lower copay than an office visit. Telehealth is convenient for follow-ups and minor issues, but it does not replace confirming that your regular doctors are in network.

Pros and Cons of Medicare Advantage

Advantages

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Often a low or $0 premium

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A yearly out-of-pocket maximum

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Drug coverage usually included

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Many plans may include dental, vision and hearing benefits

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One card and one plan

Tradeoffs

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Networks; HMOs require in-network care except emergencies

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Prior authorization and referrals are common

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Copays add up if you use a lot of care

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Plans and networks can change every year

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Switching to Medigap later may require health questions

Special Needs Plans

Special Needs Plans (SNPs) are Medicare Advantage plans built for specific groups. Benefits, networks and drug lists are designed around the members they serve, and many include care coordinators. For 2027, Special Needs Plans are one of the few areas where large insurers are adding plans, even as they cut PPOs.

Type Who Qualifies What Is Different
Dual Special Needs Plan (D-SNP) People with both Medicare and Medicaid Coordinates both programs; often very low costs and added benefits
Chronic Condition SNP (C-SNP) People with qualifying conditions such as diabetes, heart failure or chronic lung disease Doctors, drugs and programs built around the condition
Institutional SNP (I-SNP) People living in a nursing home or who need that level of care at home Care delivered where the member lives

Turning 65 in 2027

If you turn 65 in 2027, your Initial Enrollment Period lasts seven months: the three months before your birthday month, your birthday month and the three months after. Signing up during the first three months means your coverage starts on the first day of your birthday month.

Turning 65 Checklist

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Sign up for Part A and Part B, unless you have qualifying employer coverage and choose to delay Part B

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Decide between Medicare Advantage and Original Medicare with Medigap

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Join a drug plan, or a Medicare Advantage plan with drugs, to avoid a Part D late penalty

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If you choose Medigap, buy during your six-month Medigap Open Enrollment Period

Star Ratings

Medicare rates every Medicare Advantage and Part D plan from 1 to 5 stars each fall, based on things like preventive care, how well the plan manages chronic conditions, member complaints, customer service and drug pricing accuracy. The ratings are shown in Medicare Plan Finder.

Using Star Ratings

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A rating of 4 stars or higher is generally a good sign of quality and service

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Five-star plans have a special enrollment period, so you can switch into one once during the year

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New plans may not have a rating yet, which is not a bad sign by itself

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Ratings measure the plan overall, not how well it covers your specific doctors and drugs

Help Paying Medicare Costs

If your income and savings are limited, two programs can cut your Medicare costs sharply:

Medicare Savings Programs

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Run by your state Medicaid office

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Can pay your Part B premium, and sometimes deductibles and coinsurance

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Income and asset limits vary by state

Extra Help (Part D)

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Run by Social Security

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Lowers Part D premiums, deductibles and copays

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People in a Medicare Savings Program qualify automatically

Those who are eligible for Medicare along with full Medicaid might also have the option of enrolling in a Dual Special Needs Plan. Learn more about help for low-income Part D beneficiaries.

Getting Help

You do not have to compare plans alone, and you should not have to pay for help. These are the free options:

Free Help Comparing Plans

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Medicare Plan Finder on Medicare.gov, available any time

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1-800-MEDICARE (1-800-633-4227), available 24 hours a day, seven days a week

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Your State Health Insurance Assistance Program (SHIP), which offers free, unbiased counseling

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A licensed insurance agent or broker, who can compare plans from several insurers at no cost to you

Before any call, have your Medicare card, your list of drugs and doses, your doctors and your preferred pharmacies ready. It turns a long conversation into a short one.

Bottom Line

The Bottom Line

A $0 premium plan can be good value if it covers your doctors and drugs at a total yearly cost you can handle.

Compare plans and enroll online

Frequently Asked Questions

➤ What is a zero premium Medicare Advantage plan?

It is a Medicare Advantage plan that charges no monthly premium of its own. You still pay your Part B premium, plus copays, coinsurance and deductibles when you use care, up to the plan’s yearly out-of-pocket maximum.

➤ How can a Medicare Advantage plan cost $0?

Medicare pays private insurers a set amount to cover each member. Some plans can cover their costs from that payment and still offer benefits without charging a premium, depending on the county and plan design.

➤ Do I still pay the Part B premium on a $0 plan?

Yes. You must keep Part A and Part B and pay the Part B premium, which is $202.90 in 2026 and projected at $209.50 for 2027. Official 2027 amounts are announced in November, and Social Security usually deducts it from your benefit.

➤ Are $0 premium plans worse than plans with a premium?

Not necessarily. Some $0 plans have higher copays or out-of-pocket maximums, while others compare well. Judge each plan on your doctors, drugs and total yearly cost, not the premium alone, including the out-of-pocket maximum for the year ahead.

➤ Are $0 premium plans available everywhere?

No. Availability depends on your county. Average 2027 premiums are very low in states like Arizona and Georgia but much higher in Minnesota and Wyoming, where $0 plans can be scarce because fewer insurers compete there.

➤ Do $0 plans include drug coverage?

Many $0 Medicare Advantage plans include Part D drug coverage, but not all. Check the drug deductible, which can be up to $700 for 2027, and confirm each of your medications is on the formulary.

➤ Do $0 plans include dental and vision?

Many may include dental, vision or hearing benefits, but not all plans offer all benefits and coverage levels vary. Read the plan’s Evidence of Coverage to see annual limits and networks. Annual dental maximums are often modest on $0 plans.

➤ Can a $0 plan start charging a premium?

Yes. Premiums and benefits can change each year. Read your Annual Notice of Change every fall, and switch during Annual Enrollment, October 15 to December 7, 2026, if your plan no longer fits or your doctors leave its network.

➤ Is a $0 plan always an HMO?

No. Many $0 plans are HMOs, but some PPOs also have a $0 premium; for example, Clover Health is adding a $0-premium PPO for 2027 in its service area. Compare networks and costs before deciding.

Have Questions?

Speak with a licensed insurance agent

1-855-398-0716

TTY users 711

Mon-Fri: 8am-9pm ET

Find & Compare Plans Online

Speak with a licensed insurance agent

1-855-398-0716TTY 711

Mon-Fri: 8am-9pm ET

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