Why Medicare Food Cards Stop Working in January

Many seniors were shocked when, in January 2026, their Medicare food cards stopped working. These cards had been a means for them to get food and other necessities. This change has made things confusing and frustrating for people who depend on these benefits. Some seniors may have found that their Medicare Flex grocery card no longer works. If this happened to you, you may be wondering what went wrong and how to fix it.

We will talk about what happened, why Medicare food cards stopped working in January 2026, and what you can do to get these benefits back or replaced. If you are a beneficiary or are thinking about moving plans, it is important to learn about the reasons for this change and the choices you have.

How Medicare Food Cards Came to Be

If you’ve been receiving monthly food cards benefits through your Medicare Advantage food benefits, chances are it came from one of two programs: the Special Supplemental Benefits for the Chronically Ill (SSBCI) or the Value-Based Insurance Design (VBID).

SSBCI Medicare

Introduced as part of the Bipartisan Budget Act of 2018, the SSBCI program allowed Medicare Advantage plans to offer supplemental benefits like groceries and utilities to people with chronic conditions. If you have a condition such as high blood pressure, diabetes, or any other chronic ailment, your plan could provide you with these benefits. The SSBCI program has been part of Medicare since 2020 and is here to stay.

VBID Medicare

The Value-Based Insurance Design (VBID) was introduced in 2021. It allowed Medicare Advantage food cards to be given to people who were dual eligible (low-income with both Medicare and Medicaid) regardless of whether they had a chronic condition. The idea behind VBID was to make it easier for vulnerable populations to access benefits without the added paperwork for verifying chronic conditions.

What Changed in 2026?

The big change in 2026 is that VBID Medicare is no longer available. This has a big effect on seniors who were depending on these benefits. You are no longer automatically qualified for Medicare Advantage food cards if you were one of the dual-eligible beneficiaries getting benefits under the VBID model. Instead, you must now meet the requirements set out in the SSBCI standards. Here is a list of the most important changes:

End of VBID: 

The VBID Medicare 2026 plan was never meant to be a long-term answer. It was made as a test program to see how well it works at helping a lot of needy people without them having to have long-term conditions. Unfortunately, this model’s costs became too high to keep up. The Centers for Medicare & Medicaid Services (CMS) states that costs will reach $2.3 billion in 2021 and $2.2 billion in 2022. CMS chose to end the VBID program after 2025 because it was putting a lot of stress on the Medicare Trust Fund’s finances.

Shift to SSBCI: 

Now that VBID is over, people who are dual qualified are no longer automatically able to get Medicare Flex grocery cards. From now on, people who want to get benefits must meet the requirements of the SSBCI, which is based on long-term conditions rather than just income. This means that if you were getting food or energy benefits through VBID because you were low-income, you will now have to meet certain health requirements in order to get these benefits again.

Why Did CMS End the VBID?

The choice to end the VBID Medicare program did not come out of the blue. Since the beginning, it was planned as a demonstration project with a clear end date. The main reason it was ended because it was too expensive. The VBID program was meant to make it easier for people to get health insurance, but it also burdened a lot of people who were already struggling. This is why CMS chose to end the VBID program:

• Problems with Long-Term Support: The VBID Medicare model caused a big rise in risk scores, which are used to figure out how much Medicare Advantage plans should be paid. Higher risk scores meant that these plans got paid more, which caused the Medicare Trust Fund to have costs that had never been seen before.
• Cost Uncertainty: CMS found that the main reasons for the higher spending were higher-than-expected Part D costs and recipients with higher risk scores. The costs of the model were just too high for most people to pay, and no changes could ease this financial burden.

How to Fix the Medicare Grocery Card Issue

If your Medicare food cards stopped working after January 2026, do not worry. This does not always mean that you will no longer get benefits. Here are some things you can do to fix this problem of medicare food cards:

• Check for Chronic Conditions: If you had previously qualified for food benefits through SSBCI Medicare, you need to have a chronic condition to qualify. Common conditions like high blood pressure, diabetes, or mental health disorders could make you eligible. Check with your Medicare Advantage plan to confirm if your health condition meets the requirements.
• Make Sure That Your Doctor’s Paperwork is Updated: In order to qualify for Medicare food cards under SSBCI, your doctor must verify your condition. If the paperwork hasn’t been updated or submitted, your benefits may be delayed. Contact your doctor to ensure that the necessary forms have been completed.
• Explore Alternative Plans: If your current plan doesn’t offer the food benefit due to a change in criteria, it might be time to look into other Medicare Advantage plans that may have different requirements for SSBCI benefits. You can compare plans during the annual Medicare Open Enrollment Period to find one that suits your needs.
• Look for OTC Benefits: For those without chronic conditions, Medicare Advantage plans still offer over-the-counter (OTC) benefits. These allowances provide seniors with a set amount each month or year to purchase non-prescription medications, vitamins, and other health-related products. This could be a good alternative if you no longer qualify for food benefits.

Conclusion

The Medicare Flex food cards did not go away in January 2026; it just became subject to tighter eligibility rules under the SSBCI Medicare rules. It is likely that your Medicare food card does not work anymore because the VBID Medicare model is over and you need to meet certain standards for a chronic condition to qualify again.

First, find out if you have a qualifying health condition. Then, make sure your doctor has updated all the required papers. If you can not get medicare food cards benefits anymore, you might want to switch to a plan that covers over-the-counter medicines or look into other plans that have different requirements for who can get benefits. Some people may not have been able to get their medicare food cards benefits as smoothly after CMS decided to end VBID. However, this decision also sets the stage for more stable and focused Medicare Advantage food benefits that will continue to help seniors in the future.

Get in touch with LMS Insurance Group immediately to set up a meeting and let us walk you through the newest changes to Medicare. We will help you figure out what your choices are and make sure you can get the most important benefits.