The Cost Of This Medicare Plan Is Increasing And The Jump Might Surprise You

The monthly premium for Medicare Part B — used to pay for a retirees visit to a doctor — is projected to increase by $21.50 to $206.50 a month in 2026, according to a Medicare Trustees report from June 2025. This 11.6% increase in Medicare Part B premiums means that, for many, the 2.8% COLA increase announced for 2026 Social Security benefits will likely go directly to healthcare costs. But that's not all, the Part B deductible is also projected to go up by $31 — from $257 in 2025 to $288 in 2026.

It's worth noting that the trustee report did not blame price increases on the damaging 2025 Medicare cuts that were sparked by spending cuts mandated in President Trump's One Big Beautiful Bill Act. Instead, the report claimed that these increases were due to the rising costs required to pay for the government-run medical program. Costs associated with Medicare Part B and Medicare Part D (which covers prescription drug costs) have grown an average of 8.4% over the past five years. This is a faster pace than the average 6.1% growth of the nation's gross domestic product over the same time period. Even worse, this trend will likely only continue — resulting in premiums rising to $347.50 a month and deductibles going up to $486 by 2034.

Aside from Medicare Part B, the trustee report also projected increases for Medicare Part D's monthly base premium — from $36.78 in 2025 to $38.99 in 2026. Nevertheless, Mehmet Oz, former host of The Dr. Oz Show and current administrator for the Centers for Medicare and Medicaid Services, told WJAR that the monthly premiums of Medicare Part D and Medicare Advantage might be going down.

Part of the reason why Part D and Medicare Advantage plan premiums might head downward is because the Trump Administration can bargain for lower drug prices under the Inflation Reduction Act. However, the administration does not have the same ability to do this when it comes to doctors fees, lab costs, and other expenses generally associated with Part B. Also, Medicare Part D and Medicare Advantage are run by private companies subsidized by the government, meaning those plans tend to change every year and could offer potentially differently priced plans. This makes it especially important for retirees to avoid making Medicare mistakes, and review all available plans during Medicare's open enrollment period, which, for 2026, will end on December 7, 2025. 

"In general, we fought hard for you to try to keep the prices stable. I think we've achieved that goal, but you will not be getting the most benefit from this if you don't pick the right plan," Oz explained.