Updated: Sep 9, 2026
Key Takeaways
- The 2026 standard Part B premium is $202.90 and its annual deductible is $283.
- The 2026 Part A inpatient deductible is $1,736 per benefit period.
- Observation care is outpatient even when you stay overnight in a hospital.
Compare the two parts
| Topic | Part A | Part B |
|---|---|---|
| Main services | Inpatient hospital care, qualifying skilled nursing facility care, hospice, some home health | Doctor services, outpatient care, covered equipment, preventive services, some home health |
| 2026 premium | Most people qualify for premium-free Part A; others pay a premium | Standard premium $202.90 monthly; income-related and other adjustments may apply |
| 2026 deductible | $1,736 for an inpatient hospital benefit period | $283 annually |
| Other cost sharing | Depends on service and days of care | Generally 20% of approved amounts after the deductible for many services; exceptions apply |
These are Original Medicare figures. Medicare Advantage has plan-specific cost sharing, while enrollees generally continue paying their Part B premium. Prescription drug coverage under Part D and Medigap premiums are separate.
Get the Weekly Updates newsletter
Sign up for the latest financial advice, health news, and lifestyle updates.
A hospital stay can involve both parts
Part A can cover an eligible inpatient hospital stay. Doctors treating you during that stay generally bill under Part B. An overnight stay does not by itself make you an inpatient: observation services are outpatient. Ask the hospital to explain your status and any consequences for later skilled nursing facility coverage.
A Part A benefit-period deductible is not simply an annual deductible. More than one benefit period can occur in a year. Coinsurance and coverage limits can also apply, so the deductible is not a universal total price for a stay.
An outpatient cost example
Assume a covered Part B service has a $1,000 Medicare-approved amount, your deductible is already met, and standard 20% coinsurance applies. Your share is $200 before any supplemental coverage. The calculation uses the approved amount, not an arbitrary hospital sticker price. Facility charges, different services, or preventive-care exceptions can change the result.
What these parts do not settle
Original Medicare does not cover assisted-living room and board or standalone custodial care. It also does not cover every dental, vision, or hearing expense. Check the specific service rather than relying on a broad label.
For skilled visits and personal assistance at home, our Medicare home health coverage guide explains the distinction and the questions to ask your agency or plan.
Vaccines do not all fall under one part: certain vaccines are covered under Part B and others through Part D. Verify the vaccine, provider, and billing route before the appointment. For a particular item, use Medicare's coverage information and your provider's written estimate.
Read enrollment periods before delaying Part B. If considering a private plan, use the Medicare Advantage comparison to review networks, drug coverage, and annual medical spending limits.
Frequently Asked Questions
Does Part A cover everything while I am in a hospital?
Is the Part A deductible paid only once a year?
ARTICLE SOURCES
Retire Companion requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in our editorial policy.
- Centers for Medicare & Medicaid Services. 2026 Medicare Parts A and B premiums and deductibles
- Medicare. Medicare costs
- Medicare. Home health services
- Medicare. Nursing home care
Was this article helpful?
Your feedback helps us improve our resources.
