New Mexico Faces Fourth-Highest ACA Health Plan Rate Hikes in 2024

New Mexico is projected to experience some of the highest Affordable Care Act (ACA) health insurance premium increases in the U.S. for the upcoming plan year. According to the New Mexico Office of the Superintendent of Insurance, individual health plan rates through the state's ACA marketplace, BeWell, will increase on average by 35.7%.

Some specific plans within the marketplace could see premium hikes as large as 52.2%. These increases place New Mexico as having the fourth-highest average ACA rate growth among all states, based on an analysis of data compiled by the Kaiser Family Foundation. The underlying factors driving these significant premium increases may involve broader trends such as rising healthcare costs, changes in risk pools, and regulatory considerations impacting the ACA market.

Insurers and regulators in New Mexico will need to address the affordability challenges these rate hikes may pose to consumers reliant on marketplace coverage. Monitoring the market's response and potential regulatory interventions will be critical in the upcoming enrollment cycles to ensure continued access and stability of ACA plans within the state.