Medicare Costs Are Rising in 2026. What It Means for Your Health and Long-Term Care Options
Many adults on Medicare or who are approaching retirement assume Medicare will cover most of their health and long-term care needs.
The Centers for Medicare and Medicaid Services (CMS) has released the official Medicare premiums, deductibles, and cost-sharing amounts for 2026. These increases affect doctor visits, hospital stays, and major medical services.
The increase in the 2026 Part B standard premium and deductible is mainly due to projected price changes and assumed utilization increases that are consistent with historical experience. — CMS.
As 2026 costs increase, you see just how important it is to understand what Medicare does—and does not—pay for, especially when you face aging, chronic illness, or a sudden need for daily care.
2026 Medicare Part B Premiums
Part B covers doctor visits, outpatient services, and medical supplies. The standard monthly premium in 2026 increases to $202.90, up from $185 in 2025.
Part B–covered services (physician services, outpatient, certain home health services, durable medical equipment) still require an annual deductible and coinsurance/coinsurance share after deductible. — Medicare and You - 2026 Official Handbook.
Your premium may be higher if your income exceeds federal thresholds. Known as IRMAA (Income-Related Monthly Adjustment Amount), these surcharges apply based on your 2024 income filings.
Experts say that IRMAA can impact a senior if they self-fund long-term care and sell off assets, resulting in not only using their own funds but also seeing Medicare costs increase.
2026 Income Level and Premiums
| 2026 Income Level (Individual) | 2026 Income Level (Joint) | 2026 Part B Monthly Premium |
| Less than or equal to $109,000 | Less than or equal to $218,00 | $202.90 |
| $109,00 to $137,00 | $218,000 to $274,000 | $284.10 |
| $137,000 to $171,000 | $274,000 to $342,000 | $405.80 |
| $171,000 to $205,000 | $342,000 to $410,000 | $527.50 |
| $205,000 to $500,000 | $410,000 to $750,000 | $649.20 |
| Greater than or equal to $500,000 | Greater than or equal to $750,000 | $689.90 |
2026 Medicare Deductible and Coinsurance Updates
Medicare deductibles and coinsurance are subject to annual adjustments. Medicare Supplement (Medigap) plans automatically update their coverage limits to reflect these changes.
Part B–covered services (physician services, outpatient, certain home health services, durable medical equipment) still require an annual deductible and coinsurance/coinsurance share after deductible. — Medicare and You - 2026 Official Handbook.
| Feature | 2025 Costs | 2026 Costs |
| Part A Inpatient Hospital Deductible | $1,676 | $1,736 |
| Hospital Coinsurance (61-90 days) | $419 | $434 |
| Hospital Coinsurance (91-150 days, lifetime reserve) | $838 | $868 |
| Skilled Nursing Facility Coinsurance (21-100 days) | $209.50 | $217 |
| Part B Deductible (physician services and supplies) | $257 | $283 |
High-Deductible Plans F and G
For 2026, the deductible for high-deductible versions of Plans F and G increases to $2,950, up from $2,870 in 2025. Policyholders must pay this amount out of pocket (excluding premiums) before their Medigap policy begins paying benefits.
Don’t Confuse Medicare with Long-Term Care Coverage
These cost increases highlight a crucial point: Medicare is not long-term care coverage. It pays for short-term rehabilitation—not extended help with daily living, dementia care, or chronic disability.
Medicare will only cover up to 100 days of skilled nursing care, and only when:
- You require skilled services under a physician’s plan of care.
- Your care follows a hospital stay of at least three days.
- You continue to show improvement under the therapy being provided.
After Medicare stops paying, you are responsible for the full cost of long-term care, unless:
- You own a Long-Term Care Insurance policy, or
- You qualify for Medicaid, which requires having limited income and assets.
RELATED: LTC News Long-Term Care Insurance Education Center
Why This Matters
If you experience frailty, dementia, stroke effects, Parkinson’s, or mobility loss, your extended care needs will likely be custodial, meaning help with bathing, eating, dressing, transferring, personal hygiene, or memory care. Medicare does not pay for this. Even if you need ongoing skilled care, Medicare and supplements will not cover it.
Without planning, many families end up relying on unpaid family caregivers or spending down savings until they qualify for Medicaid. Medicaid provides access only to facilities willing to accept Medicaid reimbursement, which can limit, in some cases, choice and quality.
Planning Helps You Stay Independent and Protect Your Family
Experts say that preparing for extended long-term care gives you control over your care setting and protects your loved ones from exhausting, long-term caregiving.
Two key tools are:
Long-Term Care Insurance
- Provides tax-free benefits for home care, assisted living, memory care, and nursing home care.
- Keeps you from needing to spend assets to qualify for Medicaid.
- Helps you afford higher-quality care providers.
- Avoids forcing untrained and unprepared family caregivers to juggle their lives with caregiving duties.
You can compare local long-term care costs using the LTC News Cost of Care Calculator, which tracks real long-term care costs nationwide.
Medicaid
- A safety net for those with limited income and assets.
- Often restricts where someone can receive care.
- Should be considered only as a final option after planning.