Coalition calling for a 'healthcare cost freeze' in Pa. as insurers request rate increases

Advocates are urging the state agency tasked with reviewing health insurer applications for rate changes to reject proposed increases for 2027 that would apply to plans purchased by individuals and small businesses.

On average, insurers are asking for a 17.1% increase for individuals and 11.5% for small businesses, according to the Pennsylvania Insurance Department.

The submissions include increases for Pennie plans available on the state's Affordable Care Act marketplace. Submitted premium increases range from single-digit growth to a 40% increase.

More than 600 Pennsylvanians signed a petition calling for a "healthcare cost freeze," organized by the Affordable Healthcare Coalition, which is scheduled to be delivered on Wednesday to the agency's Harrisburg office.

To see a breakdown by plan and region, visit the Pennsylvania Insurance Department's website.

"The proposed 17.1% average increase in monthly premiums for 2027 Pennie health insurance plans would place an unacceptable burden on Pennsylvania families," said Antoinette Kraus, the executive director of the Pennsylvania Health Access Network, in a release.

Pennie enrollees include gig workers, child care staff and others who don't have access to employer-sponsored plans, she added, who "are facing double-digit premium increases while the cost of everyday necessities continues to rise."

"If these proposed rates take effect, even more Pennsylvanians are likely to be priced out of essential health coverage and forced to make painful cuts to basic household needs," Kraus continued.

Coalition members include Kraus' organization, Affordable PA, the Pennsylvania Association of Staff Nurses and Allied Professionals, Protect Our Care, Families Over Billionaires, Action Together NEPA and SEIU Healthcare Pennsylvania.

Pennie health insurance enrollment drops by 160K after federal subsidies expire

Companies must file their proposed rates for review and approval. State staff determine "whether each requested rate change is justified, ensuring they are not excessive, inadequate or unfairly discriminatory," according to the department.

"These rates are higher than we'd hoped and reflect continued rising costs across the healthcare environment," said Pennsylvania Insurance Commissioner Michael Humphreys in a release. "PID's team will be closely examining each filing to ensure rates are reasonable and justified and not charging any more than necessary to deliver promised benefits."

The increases come after Pennie enrollment dropped by 160,000 Pennsylvanians following the expiration of federal subsidies that caused premiums to more than double.

Coalition members say that companies are increasing premiums even as their profits soar, noting multi-million dollar compensation for many top insurance leaders. They've organized a website to collect public comments, which are due by Aug. 22, 2026.

Final approved numbers will be publicized in the fall. Public comment can also be emailed to ra-in-comment@pa.gov.

Courtesy of Pennsylvania Capital-Star