Big Medicare Premium Increases Announced

November 18, 2025 – Medicare Part B Premium and Deductibles for 2026 have been announced, and the news is not good for beneficiaries. The standard Part B monthly premium will increase just under 10%, from $185 in 2025 to $202.90 in 2026. Unfortunately, the average 2026 Social Security COLA was only $56 (2.8%). That means the Medicare premium increase of $17.90 will consume about a third of the average recipient’s SS COLA .

The annual deductible for all Medicare Part B beneficiaries will increase $26 to $283 in 2026, up from the annual deductible of $257 in 2025. 

The dramatic increase in premiums represents a continuing trend, as Medicare struggles to stay solvent. There are many reasons for the increase, but some of the most prevalent are the escalating payments to Medicare Advantage insurance companies and prescription drug costs. In 2020 the monthly premium was $144.60. Last minute changes to reimbursements from expensive skin replacement therapies, which many believe have been abused by doctors and insurance companies, helped keep the Part B increase below 10%.

Medicare Part B covers physicians’ services, outpatient hospital services, certain home health services, durable medical equipment, and certain other medical and health services not covered by Medicare Part A.

Higher income recipients pay more than the standard $202.60.

This chart shows the Medicare Part B premiums for higher income beneficiaries:

Part D Increases

Just like with Part B, many Part D plans are increasing premiums as well. The maximum allowed under the Part D Premium Stabilization Demonstration Program is $50, according to the nonprofit research organization KFF.

Want to Change Plans

The annual fall enrollment period is underway now, and runs through December 7th.

Comments:
Will your budget be severely impacted by the 2026 increases in Medicare Part B premiums? Would that influence your decision to move from traditional Medicare to Medicare Advantage, or vice versa. Let us know in the Comments section below.