Health Insurance Premiums on the Rise: A Growing Concern for Americans
By Elisabeth Rosenthal
As Americans continue to keep a close eye on the prices of everyday essentials like eggs and gasoline, there is a less noticeable but equally concerning trend on the rise: health insurance premiums. The cost of health insurance has been steadily increasing over the years and is now climbing at a faster rate than ever before.
Comparing the price fluctuations of eggs and gasoline over the past two decades to the skyrocketing cost of health insurance premiums paints a stark picture. While egg prices have fluctuated between $1 and $3 a dozen and gas prices have varied between $2 and $4 a gallon, health insurance premiums for those with employer-provided coverage have more than quadrupled since 1999. In fact, from 2023 to 2024 alone, premiums rose over 6% for both individual and family coverage, outpacing wage increases and overall inflation.
For individuals with insurance plans under the Affordable Care Act (ACA), the situation may be even more dire. State regulators only scrutinize insurers’ proposed rate increases if they exceed 15%, leaving many individuals vulnerable to substantial premium hikes. Looking ahead to 2026, ACA marketplace insurers have proposed staggering price increases, with some states seeing premiums rise by over 60%.
According to the Business Group on Health, health care costs have increased by a cumulative 50% since 2017. A separate survey revealed that 87% of companies believe that providing health insurance for their employees will become unsustainable in the next five to 10 years.
Insurers cite various reasons for these rising costs, including recent actions by Congress and President Trump. New tariffs on medical supplies and reductions in health care spending are expected to drive up expenses. Additionally, the expiration of some premium subsidies and changes to the ACA marketplace will result in millions of Americans losing their health insurance, leading to a smaller and higher-cost risk pool.
While some states may intervene to lower proposed rates, regulatory interference must be balanced to avoid insurers exiting the market. As public, for-profit companies, insurers prioritize shareholder interests over patient care, leaving many individuals with limited options for affordable coverage.
In addition to rising premiums, deductibles are also increasing, placing a greater financial burden on patients. Some states are exploring the option of a state-run “public option” to provide basic, affordable insurance plans, although challenges remain in maintaining provider participation and access to care.
If voters paid as much attention to the price of health insurance as they do to other everyday expenses, elected officials may be prompted to take more decisive action in addressing this growing issue. As health insurance costs continue to climb, it is essential for individuals to stay informed and advocate for affordable and accessible coverage options.
