More than 200,000 Minnesotans who buy their own health insurance could face proposed premium increases of up to 21.1% in 2027.
Another 184,000 people covered through small business plans could also face double-digit increases, adding more pressure on families and employers already trying to keep up with rising health care costs, KMSP-TV reported.
Here's what to know
The Minnesota Department of Commerce has released proposed 2027 rate changes for the individual and small-group insurance markets.
Average hikes in the individual market range from 9.9% to 21.1% and would affect about 203,000 Minnesotans. For small-group plans, proposed increases range from 10.6% to 21.4% for roughly 184,000 people.
Those are proposed rates, not final prices.
Insurers first submit the increases they want, along with data they say supports them.
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The Department of Commerce then evaluates the filings to decide whether the proposed changes are warranted and whether the plans meet state and federal consumer protection requirements.
Final 2027 plans are expected Oct. 15, enrollment opens Nov. 1, and Dec. 15 is the deadline for coverage beginning Jan. 1, 2027.
More background
The state-run reinsurance program was created in 2017 to help stabilize premiums in the individual market and improve affordability.
Citing the Department of Commerce, KMSP-TV reported that 2027's average finalized rate change is 17.4%.
Without the reinsurance program, however, insurers' proposed average would have been 57.9%.
The proposed increases quickly turned into a political blame game.
Minnesota DFL Party Chair Richard Carlbom blamed Republican-backed federal cuts made in the 2025 "Big Beautiful Bill," while Senate Republican Leader Mark Johnson pointed to Democrats on past issues like taxes and reinsurance decisions.
What can be done?
Before setting final rates, the Department of Commerce is reviewing insurer filings and supporting data to screen out unjustified increases.
After the Department of Commerce releases final plans on Oct. 15, consumers can use MNsure.org to compare options based on their family needs and budget.
A person's final premium depends on plan selection, rating area, age, renewal timing, and whether they qualify for subsidies.
Where can I learn more?
Insurance rate fights like this aren't limited to Minnesota's health market. These articles look at home and windstorm coverage and the broader pressures pushing premiums up.
• In Illinois, State Farm's policy change and rate hikes squeezed hundreds of thousands of households.
• In Texas, officials blocked a windstorm rate hike that would have raised costs for millions.
• Across the U.S., extreme weather keeps driving home insurance rates higher for struggling homeowners.
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