As open enrollment for 2027 approaches, families across the United States should prepare for another round of health‑insurance premium increases. The latest analysis from the nonpartisan Kaiser Family Foundation (KFF) shows that insurers offering plans through the Affordable Care Act (ACA) marketplace are proposing an average premium rise of about 15% for next year, down from the roughly 20% increase seen in 2026.
Why premiums are climbing
Insurers cite higher costs for hospital stays, physician visits and prescription drugs as the primary drivers of the hikes. The growing use of expensive weight‑loss medications, such as GLP‑1 drugs, has added a notable burden to insurers’ expense sheets, according to Larry Levitt, executive vice president for health policy at KFF.
For an individual earning $80,000 a year who does not qualify for standard ACA subsidies, a bronze‑level plan – the most affordable option – could cost roughly $80 more each month, adding nearly $1,000 to the annual bill.
Impact on ACA enrollees
About 19 million adults who purchase coverage through the ACA marketplace will face these higher premiums. The expiration of the enhanced federal subsidies that were introduced during the pandemic removed a key cost‑saving measure for middle‑class families, leading many to either pay more for the same coverage or downgrade to less comprehensive plans.
The loss of the subsidies also contributed to a drop of roughly three million people in ACA enrollment, a shift that left insurers with a higher‑risk pool of customers who, on average, require more medical care.
Employer‑based coverage
Employers nationwide are also feeling the pressure. A recent Marsh survey of more than 1,800 employers found that large firms (those with 500 or more employees) expect the cost of providing health benefits to rise 8.2% on average in 2027 – the biggest increase since 2003.
While many employers subsidize a large portion of employee premiums, some may shift more of the cost onto workers through higher monthly contributions, increased deductibles, or reduced copays for certain services. Dr. Kevin Schulman of Stanford University notes that employers often balance rising health‑care costs by slowing wage growth or adjusting benefit structures.
Changes for Medicare beneficiaries
Medicare enrollees should also anticipate higher out‑of‑pocket expenses. The Centers for Medicare & Medicaid Services projects that the baseline monthly premium for Part D prescription‑drug coverage will rise about 6% in 2027, from $38.99 to $41.33.
This increase follows the Trump administration’s decision to end a temporary federal program that had helped offset Part D premium growth. The program, launched in 2025, was intended to keep drug premiums affordable while the Inflation Reduction Act reshaped Medicare’s prescription‑drug benefit. Without that assistance, seniors on fixed incomes could see a noticeable rise in their drug costs.
Despite the higher premiums, Medicare beneficiaries will continue to benefit from an annual out‑of‑pocket cap of $2,400 for prescription drugs in 2027.
What consumers can do
During open enrollment, shoppers should compare not only monthly premiums but also deductibles, copays and out‑of‑pocket maximums. A plan that appears cheaper on a monthly basis may carry higher cost‑sharing when care is needed.
Consumers who rely on ACA coverage can also watch for any federal relief measures. The White House recently announced a $500 rebate check for an estimated one million ACA enrollees who were allegedly overcharged, though details on funding and congressional approval remain unclear.
Overall, the trend shows a modest easing of premium growth compared with last year, but the upward pressure on health‑insurance costs remains a significant concern for families, employers and seniors alike.
Original reporting: Dallas TX News (HLL/CB) — read the source article.
