Rising Health Insurance Premiums in 2026: What You Need to Know

As we approach 2026, health insurance premiums will be increasing across nearly every market segment. While rising healthcare costs are not new, the increases projected for 2026 are larger than usual and are driven by economic conditions, medical trends, and changes in the policy environment.

Below is an overview of what is driving these increases and what individuals and employers can expect as they prepare for renewals.

Why Are Health Insurance Premiums Increasing in 2026?

Several industry-wide forces are contributing to higher premiums.

1. Rising Medical and Pharmacy Costs: Hospitals, clinics, and providers are facing higher costs for labor, supplies, and daily operations. Prescription drug spending is also increasing, especially for specialty medications. These rising expenses increase claim costs for insurers, which directly influences premiums.
2. Workforce Pressures Within Healthcare: Healthcare systems are facing staffing shortages and wage increases. Higher labor costs lead to higher reimbursement rates, and these costs are reflected in premiums.
3. Growth in High-Cost Treatments: New and advanced treatments, including injectable medications, specialty drugs, and GLP 1 therapies, are becoming more common. In detailed reviews of rate filings from 16 states and the District of Columbia, 27 insurers specifically mentioned GLP 1 drugs as a driver of higher projected premiums (Health System Tracker, 2025).
4. Changes in Federal Marketplace Subsidies: Enhanced Marketplace subsidies that helped reduce out-of-pocket premium costs for many consumers in recent years are scheduled to decrease. As these subsidies expire, some individuals will experience a more noticeable increase in what they pay for coverage.

What This Means for Individuals

Premium changes for 2026 may affect individuals differently depending on how they receive coverage. Marketplace enrollees may experience more meaningful increases due to the combination of higher base rates and reduced federal subsidies.

During open enrollment, it will be important to:

• Compare plan designs
• Review networks and pharmacy coverage
• Evaluate deductibles and cost-sharing

Taking the time to review options carefully can help individuals find high-quality coverage that aligns with their needs and budget.

What This Means for Employers

Employer-sponsored plans are also experiencing higher projected rates. Many small and mid-sized groups are seeing double-digit increases for the 2026 plan year.

To prepare, organizations can:

• Review plan designs and cost-sharing structures
• Explore wellness programs and disease-management initiatives
• Evaluate funding models, including level-funded or self-funded strategies
• Communicate early with employees to support awareness and understanding

Understanding these trends early allows employers to plan responsibly and maintain competitive benefit offerings.

How Ansay and Associates Can Help

Our team partners with individuals and organizations to navigate changing insurance markets with clarity and confidence.

We offer:

• Renewal reviews and plan comparisons
• Cost-management and benefits strategy recommendations
• Employee education tools that support informed enrollment
• Personalized guidance from a trusted local advisor

We are committed to helping clients respond to changes rather than react to surprises.

Preparing for 2026 Starts Today

Although rising health insurance premiums present challenges for many households and businesses, there are effective ways to plan ahead. Whether you are reviewing Marketplace options, evaluating an employer plan, or managing benefits for your organization, Ansay and Associates is ready to support you.

Talk to an advisor today!