Most Medicare Beneficiaries Find Plan Shopping Confusing, Survey Finds

As millions of Americans prepare for Medicare’s Annual Enrollment Period (AEP), beginning October 15 through December 7, 2025, a new survey from eHealth finds that 75% of beneficiaries say choosing a plan is confusing.¹ Furthermore, the survey reports that nearly one-third of Medicare Advantage and Part D enrollees are unaware of significant cost and benefit changes expected in 2026, underscoring the importance of reviewing options this year.

"This is not the year for Medicare beneficiaries to go on autopilot, as significant changes are expected for Medicare Advantage, Medicare Supplement, and Part D plans," Derrick Duke, chief executive officer of eHealth, said in a statement. "As this survey shows, many Medicare beneficiaries find the process of comparing their options to be confusing, especially this year with so many health insurers making changes to supplemental benefits and eliminating some plans entirely. Comparing plans is crucial because it can help Medicare beneficiaries save on out-of-pocket expenses and retain access to quality care."

Medicare Advantage enrollment is projected to decline in 2025 for the first time in nearly 20 years, with CMS estimating 34 million enrollees, which is down from nearly 35 million this year as insurers scale back unprofitable plans and exit some markets, according to CNN.² While CMS expects stronger enrollment growth in 2026 and notes that seniors will still have an average of 10 plans to choose from, analysts warn that beneficiaries may face higher premiums, deductibles, and out-of-pocket costs as insurers prioritize profitability over growth.

The survey of more than 1500 Medicare beneficiaries highlights ongoing confusion and knowledge gaps as millions prepare to make coverage decisions during the 2025 AEP.¹ Three in 4 respondents (75%) said choosing a Medicare plan is confusing, and just over half (51%) plan to review their options this year, down from 63% in 2024. Additionally, awareness of upcoming changes is also low, with 36% of Medicare Advantage and Part D enrollees are unaware of significant cost and benefit shifts expected in 2026, while one-third say they do not fully understand the differences between Medicare Advantage, Medicare Supplement, and Part D plans. Furthermore, misconceptions persist, with 33% incorrectly believing Medicare covers glucagon-like peptide-1 (GLP-1) drugs for weight loss and 29% unaware that recommended vaccines are covered at no cost.

Beyond general confusion around plan selection, the survey uncovered additional gaps in awareness and emerging trends among Medicare beneficiaries. Nearly half (47%) of Medicare Advantage and Part D enrollees reported receiving their Annual Notice of Change letters, though 24% said they don’t recall ever receiving one—despite the letters outlining critical plan changes. Half of beneficiaries expressed interest in using an artificial intelligence (AI) phone agent if it could streamline the plan shopping process, signaling growing openness to digital tools. Among those with chronic conditions, 25% of beneficiaries with diabetes were unaware of Chronic Special Needs Plans, which are designed to meet specific care needs. Interest in new therapies was also evident, 50% of respondents saying they would take GLP-1 drugs for weight loss if Medicare covered them, and 1 in 5 of these individuals would pay $500 or more per month out-of-pocket for access.

References

1. Survey: 75% of Medicare beneficiaries say selecting a plan is confusing. eHealth. News release. October 1, 2025. Accessed October 1, 2025. https://www.prnewswire.com/news-releases/survey-75-of-medicare-beneficiaries-say-selecting-a-plan-is-confusing-302572267.html

2. Coombs B. Medicare Advantage enrollment expected to fall in 2026 as insurers cut back on unprofitable plans. CNN. September 29, 2025. Accessed October 1, 2025. https://www.cnbc.com/2025/09/29/cms-sees-medicare-advantage-enrollment-falling-in-2026-.html