The New York Department of Financial Services (the Department) reduced individual market carriers’ requested rate increases by 71 percent for plan year 2027. Carriers initially requested a 21 percent average rate increase—the highest of the past seven years—but through New York’s prior approval process, the Department cut this hike to an average of six percent. Of the approved rates, four carriers were not permitted to raise premiums (received an approved rate of zero percent), while one carrier’s approved rate was a premium decrease of three percent.

Without this process, rates requested by insurance carriers would have required New Yorkers to pay an average of $2,065 more annually, or $172 more per month, in premiums next year. With the newly approved rates from the Department, the annual increase in premiums is now $600, or $50 per month, for next year.

The table below compares health plans’ initial rate requests with rates that were ultimately approved, providing insight into how this process impacts health care costs (HCFANY’s detailed comments on each carrier’s rate request can also be reviewed here).

The prior approval process serves as an essential safeguard to curb rising health care costs. In 2024 and 2025, the State approved steep premium increases of 12 percent and 13 percent, respectively. Approved rates were comparatively lower for 2026, with an average of 7 percent. The approved rate of 6 percent for the 2027 plan year marks the lowest average approved rate since 2022.

HCFANY commends the Department for substantially decreasing this year’s rates, particularly in its decisions for CDPHP, Emblem (HIP), Anthem, IHBC, and MetroPlus. However, with the recent expiration of federal subsidies and influx of consumers to the individual market due to State’s transition back to the Basic Health Plan, New York should consider additional strategies to improve affordability.

To do so, the State can implement many proposals in HCFANY’s Policy Agenda that will help patients get affordable care and coverage, like the H.R. 1 Coverage Loss Mitigation Policy Package, the Primary Care Investment Act, and the Fair Pricing Act.

Many New Yorkers, who purchase their own health coverage through the New York State of Health marketplace, are eligible for subsidies. If you need help switching plans or finding affordable health insurance, the Navigators program offers free, unbiased guidance and can help you understand your premium assistance and coverage options. You can contact Navigators through the CSS Navigator Network at 888-614-5400 or email enroll@cssny.org.