Understanding Medicare Deductibles for 2026

Summary: Deductibles are a major part of your out-of-pocket costs under Medicare. Understanding how Medicare deductibles work in 2026 can help you budget, compare coverage, and avoid unexpected costs. This guide explains deductibles for Original Medicare (Parts A and B), Medicare Advantage (Part C), Part D drug coverage, and Medicare supplement insurance, along with practical tips for managing costs.

Key Points

• The 2026 Medicare part A deductible is $1,736 per benefit period.¹
• The 2026 Medicare part B deductible is $283.¹
• Medicare part C is offered by private insurers, and deductibles vary based on plan.¹
• The maximum Medicare Part D deductible for 2026 is $615, but your actual deductible depends on the specific plan you choose.²
• The 2026 Medicare supplement insurance high deductible plan deductible is $2,950.

Overview of Medicare Deductibles

A Medicare deductible is the amount you pay for covered services before Medicare or your private insurance plan begins paying its share. Deductibles apply differently across Medicare parts. Original Medicare has separate deductibles for Part A (hospital and inpatient care) and for Part B (outpatient care).

Part C (Medicare Advantage) plan deductibles vary based on your specific plan. These plans are provided by private insurers who determine the deductible amounts. Part D deductibles also vary based on your specific plan, however, carriers may not set a deductible amount that is higher than the federal government’s annual limit.

Medicare deductibles are usually updated annually. Part A and Part B deductibles typically increase modestly each year due to inflation adjustments while the maximum Part D deductible changes each year based on federal rules. Medicare Advantage plans set their own deductibles and cost-sharing and must include a maximum out-of-pocket limit for Part A and Part B services.

2026 Medicare Part A Deductible

The Medicare Part A deductible in 2026 is $1,736 per benefit period, not per calendar year.¹ A benefit period begins when you are admitted as an inpatient and ends after you have not received inpatient or skilled nursing facility care for 60 consecutive days.

Part A covers:

• Inpatient hospital care
• Skilled nursing facility care after a qualifying hospital stay
• Hospice care

Medicare Part A Hospital Stay Cost Structure

Once you meet the 2026 Medicare Part A deductible for a benefit period, Medicare covers the full cost of inpatient hospital care for days 1–60. For stays lasting 61-90 days, coinsurance applies. Medicare also includes a limited number of lifetime reserve days for hospital stays that go beyond 90 days in a benefit period. These days have higher coinsurance per day and are allotted once during your lifetime; once those reserve days are used, they will not be replenished.

Because Part A deductibles are tied to benefit periods, multiple hospitalizations separated by 60 or more days can result in paying the deductible more than once in the same year.

Medicare Coverage for Skilled Nursing Facilities

Medicare Part A covers skilled nursing facility (SNF) care for a limited time following a qualifying inpatient hospital stay. SNF care after a hospital stay is designed to provide short‑term skilled nursing and rehabilitation services that help patients recover safely, regain function, and transition out of the hospital when they aren’t yet ready to return home.

Coverage is tied to a benefit period, and once the covered days are used, Medicare does not pay for additional SNF care until a new benefit period begins.⁴

2026 Medicare Part B Deductible

The Medicare Part B deductible in 2026 is $283.¹ The Part B deductible is an annual amount and applies only once per calendar year.

Part B covers:

• Outpatient and physician services
• Preventive care
• Lab work
• Durable medical equipment (DME)
• Certain drugs administered in a clinical setting

After meeting the 2026 Medicare Part B deductible, Medicare generally pays 80% of the Medicare-approved amount for covered services, and you pay 20% coinsurance. Many preventive services are fully covered when provided by a provider who accepts Medicare and may not count toward the deductible.

Medicare Advantage (Part C) Deductibles and Cost Sharing

Medicare Advantage plans are offered by private insurers and must cover the same services as Original Medicare, but they set their own cost-sharing. Many plans also include Part D prescription drug coverage and may offer extra benefits such as dental, vision, or hearing.

Medicare Advantage plan deductibles vary by plan and insurance carrier. Some plans feature a single overall medical deductible, while others may have separate deductibles for medical and prescription drug coverage. Some plans have no medical deductible at all, and not all plans offer prescription drug benefits.

Along with deductibles, Medicare Advantage plans typically have copays or coinsurance that vary by the service received. These costs can add up over the year. Every Medicare Advantage plan must set a maximum out-of-pocket (MOOP) limit for Part A and Part B services, which provides financial protection and limits your total annual spending if you need extensive care.

When comparing Medicare Advantage plans, consider the deductible amount along with your other cost-sharing responsibilities like monthly premiums, copays for commonly used services, prescription drug costs, provider network rules, and the MOOP. Evaluating all these factors together can help you determine which plan best meets your budget and coverage needs.

Medicare Part D (Drug Coverage) Deductibles

The maximum Medicare Part D deductible in 2026 is $615. 

Part D plans cover prescription drugs and are offered by private insurers. Plans typically organize drugs in their formularies into tiers such as generic, preferred brand, non‑preferred brand, and specialty, with costs increasing at higher tiers. Most use an annual deductible that applies to all formulary drugs. However, some plans may exempt certain tiers from the deductible, like preferred generics, which means copays or coinsurance start right away for those medications.

The federal government sets the maximum Part D deductible each year. Plans can choose a lower amount, including $0. You will pay the full cost of covered drugs until you meet the deductible, unless the drug is exempt under your plan. After that, you move into the initial coverage phase with copays or coinsurance based on tier. Keep an accurate personal medication list and review each drug’s tier and deductible status in your plan’s formulary to estimate your costs throughout the year.2

Taking a few proactive steps can help you manage prescription drug costs and avoid unnecessary spending. Consider the following tips when choosing and using a Part D plan:

• Compare formularies and preferred pharmacy networks before enrolling.
• Consider using mail-order to fill maintenance medications when available. Many plans typically offer lower pricing for mail-order prescriptions.
• Ask your prescriber about generics or lower-tier alternatives.
• Check manufacturer savings programs when appropriate.
• Reassess plans in the fall during the annual open enrollment period; evaluate deductible amounts and formulary drug tiers to understand what your total costs would be under different plans.

Medicare Supplement Insurance (Medigap)

Medicare Supplement Insurance works alongside Original Medicare (Medicare Part A and Part B) to help pay some of your out-of-pocket costs like the Part A and Part B deductibles and coinsurance. You must be enrolled in Medicare Part A and Part B to purchase a Medicare supplement policy. Medicare supplement policies cannot be used with Medicare Advantage plans.

Coverage of the Original Medicare deductibles varies depending on the plan. Most Medicare supplement insurance plans help cover the Part A deductible (Plan A is the only plan that does not cover any of the Part A deductible). Plan C and Plan F cover both the Part A and Part B deductible, but they are only available to people who became eligible for Medicare before January 1, 2020.

High deductible versions of certain plans may be available to eligible individuals, offering lower monthly premiums in exchange for an annual plan deductible ($2,950 in 2026). After meeting the annual deductible, these plans provide the same level of coverage as their standard plan counterpart. For instance, high deductible plan G provides the same coverage as Plan G, but the plan doesn’t start paying benefits until you’ve met the plan’s annual deductible.

When choosing a Medicare Supplement plan, consider your expected care needs, your ability to manage deductibles and coinsurance, monthly premiums, and the insurer’s stability and customer service. A plan that covers the Medicare Part A deductible and Part B coinsurance can smooth spending across the year. Enrolling during your open enrollment period provides guaranteed issue rights without medical underwriting. Learn more with our Medicare supplement enrollment guide.

Practical Tips for Managing Deductibles

Understanding your Medicare deductibles can help you choose coverage that meets your needs and budget. Here are practical tips for 2026:

• If you have a Part C Medicare Advantage plan, Part D prescription drug plan or high deductible Medicare Supplement plan, verify your deductible amounts with your insurer
• Keep an up-to-date list of medications and providers to review networks and formulary tiers.
• Compare Medicare coverage options to balance premiums, deductibles, and maximum out-of-pocket costs.
• If you receive an Annual Notice of Change from your Medicare plan, review it and compare plans to adjust coverage. Take time each year to review your Medicare plan options to manage costs effectively.

While deductibles are an important part of Medicare costs, they’re not the only expense to consider. Understanding how deductibles, copays, and out-of-pocket limits work can help you choose the coverage that provides the protection and predictability you need. Read our guide, Understanding Medicare Costs, to learn more about Medicare costs beyond deductibles.

Frequently Asked Questions

Does Medicare have a deductible?

Yes. Both Medicare Part A and Part B have deductibles. The deductibles typically change each year. Medicare Part D (prescription drug plans) also have an annual maximum deductible.

What is the Medicare Part A deductible in 2026?

The 2026 Medicare Part A deductible is $1,736, up $60 from $1,676 in 2025.³

What is the Medicare Part B deductible in 2026?

The 2026 Medicare Part B deductible is $283, up $26 from $257 in 2025.³

Can Medicare supplement cover the Part B deductible? 

Only Medicare supplement Plan C and Plan F cover the Medicare Part B deductible. These plans are only available to individuals who became eligible for Medicare before January 1, 2020.

Sources

¹ Medicare.gov. Web page: What does Medicare cost? Retrieved Jan. 20, 2026, from https://www.medicare.gov/basics/get-started-with-medicare/medicare-basics/what-does-medicare-cost.

² Medicare.gov. Web page: How much does Medicare drug coverage cost? Retrieved Jan. 20, 2026, from https://www.medicare.gov/health-drug-plans/part-d/basics/costs.

³ Centers for Medicare & Medicaid Services (CMS). Web page: 2026 Medicare Parts B premiums and deductibles. Retrieved Jan. 29, 2026, from https://www.cms.gov/newsroom/fact-sheets/2026-medicare-parts-b-premiums-deductibles.

⁴ Medicare.gov. Web page: Skilled nursing facility care. Retrieved Feb. 19, 2026, from https://www.medicare.gov/coverage/skilled-nursing-facility-care

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