Each year, the Centers for Medicare & Medicaid Services (CMS) releases updates to Medicare plan premiums, deductibles, coinsurance, and out-of-pocket maximums. Let’s review the cost changes beneficiaries can expect for 2026.
Medicare Costs for 2026
Part A (Hospital Insurance) Costs
Inpatient Hospital Deductible: Increased from $1,676 in 2025 to $1,736 per benefit period in 2026.
Daily Hospital Coinsurance (Days 61–90): Increased from $419 per day in 2025 to $434 per day in 2026.
Daily Hospital Coinsurance (Lifetime Reserve Days): Increased from $838 per day in 2025 to $868 per day in 2026.
Skilled Nursing Facility Coinsurance (Days 21–100): Increased from $209.50 per day in 2025 to $217.00 per day in 2026.
Part A Premium (for those who pay a premium): The highest premium (for those with fewer than 30 quarters of coverage) increased from $518 per month in 2025 to $565 per month in 2026.
Part B (Medical Insurance) Costs
Standard Monthly Premium: Increased from $185.00 in 2025 to $202.90 in 2026.
Annual Deductible: Increased from $257 in 2025 to $283 in 2026.
Income-Related Monthly Adjustment Amount (IRMAA): The total monthly premium for high-income beneficiaries (IRMAA payers) will be higher, ranging from $284.10 to $689.90 in 2026, depending on the beneficiary's income.
Medicare Supplement (Medigap) Plans
Medigap High-Deductible Plans (F, G, J): The annual deductible for these plans increased from $2,870 in 2025 to $2,950 in 2026. This amount must be met before the Medigap policy begins to pay for covered services.
Plan K Out-of-Pocket Limit: Increased from $7,220 in 2025 to $8,000 in 2026.
Plan L Out-of-Pocket Limit: Increased from $3,610 in 2025 to $4,000 in 2026.
Medicare Prescription Drug (Part D) Plans
Maximum Out-of-Pocket (OOP) Cap: Increased from $2,000 in 2025 to $2,100 in 2026. Once your out-of-pocket costs (deductible, copays, and coinsurance) reach this $2,100 limit, you will pay $0 for all covered Part D drugs for the remainder of the calendar year.
Maximum Part D Deductible: The maximum amount a Part D plan can charge for a deductible is increasing from $590 in 2025 to $615 in 2026.
2026 Medicare Part B Premium Chart
Filing Status and Yearly Income in 2024
Individual tax return | Joint tax return | Married and separate tax return | You pay each month (in 2026) |
$109,000 or less in yearly income | $218,000 or less in yearly income | $109,000 or less in yearly income | $202.90 |
Above $109,000 up to $137,000 in yearly income | Above $218,000 up to $274,000 in yearly income | Not applicable | $284.10 |
Above $137,000 up to $171,000 in yearly income | Above $274,000 up to $342,000 in yearly income | Not applicable | $405.80 |
Above $171,000 up to $205,000 in yearly income | Above $342,000 up to $410,000 in yearly income | Not applicable | $527.50 |
Above $205,000 and less than $500,000 in yearly income | Above $410,000 and less than $750,000 in yearly income | Above $109,000 and less than $391,000 in yearly income | $649.20 |
$500,000 or above in yearly income | $750,000 or above in yearly income | $391,000 or above in yearly income | $689.90 |
Source: https://www.medicare.gov/
Why do Medicare prices change each year?
According to CMS.gov, the biggest reason for Medicare Part B deductible and premium increases is physician-administered drug costs. Medicare prices do not always increase consistently each year; in some cases, they’ll go down. When there is a price increase, it’s typically due to program expansion—not a reduction in benefits.
Medicare Advantage prices and benefits change each year, too. Insurance companies might examine what they offer and decide to remove benefits or change their prices. The good news is that Medicare Advantage benefits usually only change once a year. You’ll receive a detailed list of these changes as part of the Annual Notice of Change your Medicare Advantage provider sends in the fall.
How can I prepare for changes to my Medicare Advantage plan costs?
The most effective way to prepare for changes to your Medicare Advantage plan is to thoroughly review the Annual Notice of Change (ANOC) that your insurance provider sends each fall. This document, which is required to be sent by September 30, outlines any adjustments to premiums, deductibles, copayments, and the list of covered prescription drugs (formulary) for the upcoming year. It's also vital to assess your own health needs from the past year—have you started new medications, seen new specialists, or been diagnosed with a new condition? By cross-referencing this information with the ANOC and comparing it against other plans available during the Annual Enrollment Period (AEP), you can ensure you select a plan that best fits your medical and financial situation for the coming year.
What to Do if Your Medicare Costs Increase
If your Medicare costs are set to increase, don’t panic. Price fluctuations are common, and prices may actually decrease the following year. If you’re still unhappy with the cost increases, you do have options.
You may use the Medicare Annual Enrollment Period to shop for and compare different Medicare Advantage plans. You may discover that a different carrier offers a lower price for the same coverage. While we recommend not switching Medicare plans each year just to save money, SelectQuote can help you shop for Medicare coverage by comparing rates from several different insurance companies.
SelectQuote Can Help You Find the Best Medicare Plan Fit for Your Needs
If you have questions about navigating your Medicare benefits—including price changes—SelectQuote can help. We compare rates from national insurance companies to find the best fit for your Medicare coverage needs. Whether it’s prescription drug coverage, exploring supplemental benefits or finding the lowest average monthly premiums for your coverage, we help people with Medicare understand and maximize their healthcare coverage.
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