Pennsylvania Approves 15.97% Individual Premium Hike
State regulators approved an average 15.97% premium increase for individual health insurance in 2027, below the 17.14% insurers requested.
Updated on Nov. 9, 2026 in Insurance
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The Pennsylvania Insurance Department approved a 15.97% average premium increase for the individual health insurance market for 2027. Regulators rejected about $94.7 million in proposed increases, and 214,000 Pennsylvanians canceled Pennie coverage after enhanced federal tax credits expired.
Why it matters
Rising health care prices, prescription-drug costs and heavier use of medical services are pushing premiums higher, and the expiration of enhanced federal premium tax credits after 2025 is adding to the increases. Loss of coverage could also raise uncompensated medical care costs elsewhere in the health care system.
Insurers initially requested a 17.14% average increase, and regulators rejected about $94.7 million in proposed hikes before approving 15.97%. Individual-market approvals range from roughly 1.4% at Oscar Health to more than 35% at Ambetter Health, and the statewide average does not apply equally to every Pennie customer.
The players
Pennsylvania Insurance Department
The state agency responsible for regulating insurance companies and reviewing health insurance rate filings in Pennsylvania.
Pennie
Pennsylvania's official health insurance marketplace, which offers financial assistance to eligible residents buying individual coverage.
The details
Premium rates were set through the state's rate review process, and individual premiums depend on age, location, household income, family size, plan choice and local competition. Pennsylvania's individual and small-group insurers paid $845 million more in medical and prescription drug claims in 2025 than in 2024, a 13% increase in claims paid, while enhanced federal premium tax credits expired after 2025.
Timeline
2024: Baseline year for the 2025 claims comparison.
2025: Insurers paid $845 million more in claims than in 2024.
After 2025: Enhanced federal premium tax credits expired.
2027: The approved 15.97% average premium increase takes effect.
Market Dynamics
The 2027 increase follows the expiration of the enhanced federal premium tax credits under the Affordable Care Act after 2025, which is driving individual-market premiums higher across state marketplaces. Pennsylvania's approval shows how that federal change flows directly into state-level insurance pricing and enrollment losses.
Pennsylvania residents buying individual health coverage should compare the approved increase for their specific insurer, since rates range from about 1.4% to more than 35%. Households that canceled Pennie coverage after the tax credits expired may face higher monthly costs if they re-enroll in 2027.
The takeaway
Health insurance costs are no longer set by one number, so comparing plans and checking Pennie for financial assistance can help households limit the impact of rising premiums.
Further reading
For related coverage on how premiums and policy costs are shaping household budgets, see Insurance in our Pennsylvania finance section.
Source note: This article includes information reported by Bucks County Courier Times.
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