Expired subsidies cited as driver of ACA premium proposals
The KFF analysis, released Wednesday, examined rate filings from 77 insurers participating in the Affordable Care Act marketplace that have publicly available proposals. The median requested increase for 2027 is 14%, according to the healthcare research nonprofit.
Insurers attributed the higher rates to rising healthcare costs, changes in federal regulations, and the end of enhanced subsidies that Congress approved during the pandemic to make coverage more affordable. Those subsidies expired at the start of 2026, leaving middle-class enrollees facing an especially stark increase in costs.
Middle-income Americans earning at or above 400% of the federal poverty level — about $63,000 a year for an individual or $129,000 for a family of four — are particularly affected because they do not qualify for premium tax credits that shield most other marketplace enrollees from the full cost increases.
The premium proposals mark the second consecutive year of double-digit hikes. For 2026, the median rate increase was 20%, KFF said.
The rising premiums add to voters’ concerns about affordability ahead of November’s midterm elections, with healthcare costs front of mind for many.