Overview
- CMS finalized the new rates on Nov. 14 via an online fact sheet, setting the standard Part B premium at $202.90, up $17.90 — a rise that would have been about $11 higher without a payment change for skin substitutes.
- Key cost changes take effect Jan. 1: the Part B deductible increases to $283, the Part A inpatient hospital deductible to $1,736, and Part D’s initial deductible to $615 with a $2,100 maximum out-of-pocket.
- For many beneficiaries whose premiums are deducted from Social Security, the average $56 monthly COLA will net closer to $38, though the hold harmless rule protects those with very small checks from seeing a reduction.
- Roughly 8% of enrollees will owe income-related Part B surcharges in 2026, with example premiums reaching $405.80 a month for certain joint filers within specified income tiers.
- The 2026 market will feature fewer choices as Medicare Advantage plan offerings fall 10% to 3,373 and eight Vermont counties lose MA options, while some Part D insurers raise premiums or pull back.