Medicare Part A Costs Are Rising in 2026. Here's What You Need to Know

Many seniors find that once they retire, their living costs decrease for the most part. But there's one expense that may get bigger and bigger for you in retirement -- healthcare.

Part of the reason is that as people age, more healthcare issues tend to arise. Another part is that Medicare costs tend to increase from one year to the next.

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In 2026, Medicare Part A, which covers hospital care, is undergoing some big changes. Here's an overview of the costs that are rising.

The inpatient hospital deductible for Part A is increasing

Most Medicare enrollees do not pay a premium for Part A coverage the same way they have to pay a premium for Part B. But that doesn't mean all of the services covered by Part A are free.

If you're admitted to the hospital as a Medicare Part A enrollee, you're responsible for an inpatient deductible that covers your first 60 days of care. And in 2026, the Part A inpatient hospital deductible is rising to $1,736, up from $1,676 in 2025.

The daily hospital coinsurance rate is increasing, too

While your $1,736 inpatient deductible covers your first 60 days in the hospital, once you go beyond that point, you have to pay coinsurance daily. The daily coinsurance rate is increasing from $419 in 2025 to $434 in 2026 for days 61 through 90 of a hospital stay.

If you end up in the hospital longer than 90 days, you'll have to dip into your lifetime reserve days. In 2025, the daily coinsurance rate for lifetime reserve days is $838. But in 2026, it's rising to $868.

Skilled nursing care will cost you more

As a Medicare Part A enrollee, your inpatient deductible for a hospital stay also covers up to 20 days at a skilled nursing facility. If you need a longer stay than that, you'll be subject to a daily coinsurance rate.

In 2025, that daily rate is $209.50. In 2026, it's increasing to $217. That rate stays in place for up 100 days of extended care services.

Don't let Medicare Part A costs upend your retirement finances

A lot of retirees have a very limited income that consists largely of Social Security benefits. If you have some savings to tap, you're in a better position than some.

But either way, given the costs associated with Medicare Part A, it's important to have a way to defray some of the expenses you might face. That's where Medigap comes in.

Also known as supplemental insurance, Medigap's role is to pick up the tab for expenses like deductibles and coinsurance that patients incur as Medicare enrollees, thereby helping to ensure that an unplanned hospital stay doesn't wreck your finances. While Medigap does not work Medicare Advantage plans, it's a fantastic option for people who stick with original Medicare.

The best time to get a Medigap plan is during the six-month period when you're 65 or older and are first enrolled in Medicare Part B. During this window, you cannot be denied Medigap coverage due to a preexisting condition.

To be clear, you can buy Medigap after that six-month window. But by then, you may be looking at costlier premiums. So it's best to put that coverage in place as early as possible.

It's not unusual for Medicare Part A costs to rise from one year to the next. But if you don't have a Medigap plan, it's especially important that you be mindful of the numbers above. It's also a good idea to look into Medigap, even if you're well past your initial window to buy that supplemental insurance.

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