Health insurance premiums on the Affordable Care Act marketplace are projected to increase an average of 9% for the 2027 plan year as enhanced premium subsidies enacted during the pandemic are set to expire at the end of 2026.
Impact on Consumers
Without congressional action to extend the enhanced subsidies, an estimated 6.4 million Americans could see their monthly premiums increase by $100 to $300 depending on income level and geographic location.
- A 40-year-old earning $50,000 would see benchmark Silver plan costs rise from $180/month to $310/month
- States with less marketplace competition will experience the steepest increases
- Insurers in 8 states have already filed preliminary rate increases above 12%
Legislative Outlook
Bipartisan negotiations are underway to extend at least a portion of the subsidies, but disagreements over funding mechanisms have stalled progress. Consumer advocacy groups warn that millions could drop coverage if premiums rise unchecked.
