Pennsylvania health insurance providers request steep rate increases for 2027

Health insurance providers in Pennsylvania have requested significant rate increases for 2027, with proposals affecting both individual and small group markets.

Insurers seek double-digit rate increases

The Pennsylvania Insurance Department announced that requested rate hikes average 17% for individual plans, which are purchased directly by consumers, and 11.5% for small group plans, typically offered through employers.

UnitedHealthcare has proposed an average rate increase of 33.5%, Highmark is seeking a 15.5% hike, and UPMC Health Benefits has requested a 12.3% rise.

Pennie customers could face higher costs

The increases could be especially concerning for people who buy coverage through Pennie, Pennsylvania’s Affordable Care Act marketplace.

Advocates said last year’s rates rose 21%, with the expiration of enhanced federal premium tax credits causing out-of-pocket premiums to double, triple, or quadruple.

Nearly 200,000 Pennsylvanians reportedly dropped Pennie coverage in the past year.

Proposed rates under state review

“These are just proposed rates, not final,” the Pennsylvania Insurance Department said. The department will examine every filing and may reject or reduce increases it finds excessive or unjustified.

Final approved rates are expected in the fall.