Americans’ health insurance bills could surge by 75% next year | Official Website of Louis Velazquez, entrepreneur, finance guy and tech innovator

“Nothing in life is certain except death and taxes,” goes the saying made famous by Benjamin Franklin. He could have added “health insurance premiums” to that list if he were alive today. At least for Americans.

Since the U.S. doesn’t have a true national health insurance program, people are left to figure out coverage on their own. Most of the time, insurance comes through employers, usually with the employer and the employee splitting the cost.

Now millions of Americans are facing sticker shock in 2026 as health insurance costs surge at levels not seen in more than a decade.

Whether people get coverage through their employer or buy a plan on the ACA marketplace, their monthly bills could rise by hundreds of dollars.

What to know about health insurance price increases in 2026

Employer Plans: Costs are expected to rise by 6.5% (up to 9%), marking the largest jump in 15 years, according to consulting firm Mercer.
ACA Marketplace: Average hikes around 20% nationwide, with New York 66% and Colorado 30%+, according to KKF.
Subsidies Expiring: Federal ACA subsidies that helped lower premiums during the Covid pandemic end in 2025; loss could trigger 75%+ spike for some families, per KKF’s HealthSystemTracker.

Health insurance premiums will likely rise in 2026.

Image source&colon; Shutterstock

Employer plans may see biggest price hike in 15 years

Companies providing health benefits are preparing for the steepest cost increase since 2011. Even with cost-control measures, Mercer reports that employer expenses are expected to rise 6.5% in 2026, and without those measures, costs could spike as high as 9%.

These higher expenses often trickle down to employees. Workers can expect bigger deductions from paychecks for premiums, larger deductibles before insurance kicks in, and higher copays for doctor visits, prescriptions, and hospital care. Much of the pressure comes from the surge in specialty drug costs, particularly medications for weight loss and diabetes, alongside higher labor and supply costs in the health care industry.

ACA buyers could face “double shock”

For the roughly 16 million Americans purchasing insurance through the ACA marketplace, the news is even worse.

Insurers have filed for average premium increases near 20% nationwide, with some states requesting far higher hikes. New York proposals reach 66%, and Colorado is seeing increases over 30%, as reported in The Washington Post.

Compounding the problem, federal subsidies that have kept ACA plans affordable are set to expire at the end of 2025. Open enrollment for 2026 begins on November 1.

Without legislative action, some households could face premiums jumping by 75% or more overnight. For middle-income families that don’t qualify for full subsidies, this could make coverage unaffordable, and some may be forced to drop insurance altogether, according to KKF.

Why are health care costs rising?

Several factors are driving the increase. High-cost specialty drugs, including popular weight-loss drugs, are flooding the market, and demand for care continues to climb, particularly for chronic conditions and mental health services. Hospitals and clinics are contending with rising wages and supply costs, creating further upward pressure on premiums. Combined with the uncertainty around ACA subsidies, these forces are converging to push the cost of health care higher than many Americans have seen in years.

How Americans can prepare for rising health care costs

While no one can fully avoid higher costs, there are some things that could help mitigate the impact:

Review plans carefully during open enrollment — don’t auto-renew.
Consider a Health Savings Account (HSA) if eligible, which allows pre-tax dollars to pay for medical bills.
Shop around for prescription drugs and ask about generic alternatives.
Use urgent care centers instead of the ER for non-emergencies, since co-pays are generally less.
Stay alert on federal subsidies — if lawmakers extend them, premiums could be lower than projected.

Health insurance in 2026 is set to be the most expensive in years. Employers are facing their largest cost increase in 15 years, and ACA marketplace premiums could climb by 20% or more — potentially much higher if subsidies lapse.

Families can soften the blow by planning ahead, comparing plans, and taking advantage of every available savings tool. Unless Congress intervenes, one thing is clear: health care costs are likely going up next year.