This paper presents a medium frequency transformer with high insulation level design which is used for the DAB DC-DC converter. The transformer size is largely reduced when operating at medium frequency compared with conventional power frequency transformer which provides the possibility for higher power density. However, there is a trade-off between the high power density and thermal performance. First of all, the exposed cooling surface is reduced accordingly. And the dissipated heat is proportional to the exposed cooling surface directly. Secondly with higher frequencies, effects such as skin and proximity and hysteresis losses are significantly increased compared to transformer operation at 50/60 Hz. Besides the design process should consider high isolation requirement. And this again defects the transformer thermal performance and this is because firstly insulation material adds extra losses to the system, secondly the construction of the insulation will block some cooling surfaces and thirdly those insulation materials normally have relatively low thermal conductivity. As a consequence, the thermal design should be carefully considered and evaluated. To solve this problem, only the high voltage side winding is impregnated in epoxy resin which reduces the insulation material. The stacked transformer cores are gapped from each other which have helped the transformer heat dissipation. Such that, a design with low thermal resistance and high power density is achieved. FEM models are developed to analyze the transformer electric and thermal performances. Finally prototypes are built and tested to verify our design concept.