Montana Warns of ACA Health Insurance Rate Increases for 2026 Coverage
The Montana Commissioner of Securities and Insurance (CSI), through State Auditor James Brown, has issued a statement warning that Affordable Care Act (ACA) health insurance premiums are expected to rise for 2026 coverage. Major carriers such as Blue Cross and Blue Shield of Montana, PacificSource, Mountain Health Co-op, and UnitedHealthcare will publish their new rates between August 1-14, affecting small businesses and individual consumers. These increases apply to plans both on and off the federally facilitated marketplace (HealthCare.gov).
The CSI regulates insurance companies in Montana by enforcing compliance with state laws, reviewing rate filings for completeness and actuarial justification, conducting market conduct examinations, and educating consumers about factors driving premium changes. However, the CSI does not have the authority to approve or deny ACA small group and individual market rates, which is limited by federal and state law. Instead, the agency acts as a reviewer to ensure transparency and fairness.
Nationwide, ACA rate increases in 2025 are driven by multiple factors including medical inflation, rising hospital and physician costs, prescription drug price inflation particularly for specialty medications, post-pandemic workforce challenges, hospital consolidations reducing competition, and uncertainty around federal subsidies and reinsurance policies. The expiration of enhanced premium tax credits after 2025 also contributes to pricing adjustments.
Auditor Brown emphasized the importance for Montana consumers to shop and compare plans during the upcoming open enrollment starting November 1, 2025, and to verify eligibility for federal subsidies that could reduce premiums. The CSI encourages consumers to consult with licensed brokers, certified enrollment specialists, or the agency itself for assistance in selecting appropriate coverage and understanding rate changes.
The CSI remains committed to protecting Montana policyholders through regulatory oversight, market transparency, and consumer education. This announcement highlights broader insurance market challenges affecting premium rates and underscores the need for ongoing vigilance by regulators and consumers alike to navigate evolving health insurance landscapes.