In this work, GaN/AlN/AlGaN MOS-HEMT with a cavity below the gate towards the drain side is studied for its sensitivity analysis and viability as a biosensor. The analysis is done by dielectric modulation of the cavity region to emulate the presence of different dielectric biomolecules and charged biomolecules by interface charge variation. MOSFET-based dielectrically modulated sensors have been a success experimentally and this work extends and demonstrates this concept with GaN HEMT. The device performance is evaluated through the shift in threshold voltage (V th) and drain current (I DS), which are used as performance metrics. The proposed device structure simulations were performed with ATLAS Silvaco device simulation tool which depicts the bio-immobilization in the cavity leads to the changes in electrostatic properties like conduction band offset, two-dimensional electron gas (2DEG) sheet carrier concentration and channel potential. The simulation analysis reveals V th and I DS shift up to 1.1 V and 153.7 mA/mm for the neutral biomolecules, whereas for deoxyribo nucleic acid, the shift is up to 0.30 mV and 65.2 mA/mm, respectively, implying a highly sensitive device. The AlGaN layer thickness and cavity fill height variations on device sensitivity are also reported.