The New York State Department of Financial Services (DFS) has announced the approval of health insurers’ premium rate increases for 2026, resulting in savings of approximately $959 million for consumers and small businesses. In the individual market, DFS reduced insurers’ requested rates by 47.4%, saving consumers $148.2 million. For the small group market, rates were cut by 45.8%, resulting in savings of $810.8 million for small businesses.
Approximately 930,000 New Yorkers are enrolled in these individual and small group plans. The rising costs of medical care, including hospital stays and drug prices, remain the primary factors driving health insurance premium increases.
To address these challenges amid rising healthcare and consumer goods costs, DFS limited insurers’ profit provisions to just 1%. More details on requested and approved rates for both markets can be found on their website.
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