Health insurance premiums are expected to soar in 2026, putting financial strain on Floridians as both marketplace and employer-based plans see sharp increases. New research indicates family budgets may take a major hit in the coming year.

What’s Going Up

• Marketplace (ACA) plans are projected to rise about 20% on average.
• Employer-sponsored plans may increase by roughly 9%.
• For those who receive tax subsidies under the Affordable Care Act, the picture is especially dire: if enhanced ACA premium tax credits are allowed to expire at the end of 2025, premiums could jump by as much as 75% for some consumers.

Why Premiums Are Rising

Several major cost pressures are being blamed:

1. Lagging inflation catch-up — Health care costs often rise more slowly during certain periods but then “catch up.”
2. Labor shortages — Hospitals and clinics are paying more to recruit and retain staff, pushing up overall costs.
3. Expensive weight-loss drugs — Drugs like Ozempic and similar GLP-1 medications, which may cost around $800/month, are being used more broadly in treatment for obesity and diabetes. Insurers that cover them are facing higher expense loads.
4. Provider consolidation — As large health care systems absorb smaller clinics, market consolidation is reducing competition, raising costs.
5. Uncertainty over tariffs — Proposed tariffs on imported prescription drugs and medical devices could further raise costs for consumers and insurers alike.

What’s Still Unclear

• Whether Congress will extend the enhanced ACA subsidies before they expire at the end of 2025. Without them, many consumers will face the steepest increases.
• Which proposed tariffs on drugs and medical devices will ultimately pass, and how insurers will respond in terms of coverage.
• How insurers will adjust for coverage of newer, high-cost drug categories in the coming year.

Impact & What You Can Do

• Many Floridians may be forced to shop for cheaper plans or reduce coverage. Some may even drop health insurance entirely if costs become unsustainable.
• The next open enrollment period for ACA marketplace plans begins in November 2025. Consumers will want to explore options carefully.
• There is strong motivation for legislative action; extending the subsidies and addressing cost drivers could help mitigate the worst of the increase

Floridians brace for what experts warn could be the fastest run-up in health insurance premiums in at least five years. With multiple cost pressures converging and key policy decisions hanging in the balance, many households will need to plan ahead now for 2026’s sticker shock.

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