Health Insurance Rate Hikes Expected in Missouri
JEFFERSON CITY — Most health insurance companies in Missouri are anticipating increases in monthly rates for 2026. This comes against the backdrop of a budget proposal in Washington, D.C., which could potentially eliminate a crucial tax credit that helps many Americans maintain their insurance. Experts are raising concerns about the implications.
The ongoing 40-day government shutdown was triggered by disputes over these subsidies. Democrats are pressing for Republicans to extend Affordable Care Act tax credits that are scheduled to expire at the end of December.
These credits benefit over 24 million individuals across the country, with 417,000 plans currently in operation in Missouri, according to health research group KFF.
Some Senate Democrats have suggested breaking party lines this past weekend, proposing a bill that would exclude the extension of ACA subsidies but promise a future vote on the matter.
The Missouri Department of Commerce and Insurance has reported that, regardless of the fate of these subsidies, insurance companies were already planning to raise their monthly rates—a jump of up to 30% in some cases.
Here are the projected rate increases for individual services in 2026:
- Ambetter: average increase of 24.37%
- Cox Health Plans: average increase of 30.40%
- Anthem Blue Cross and Blue Shield: average increase of 22.67%
- Medica: average increase of 30.20%
- Medica Welfirst: average increase of 5.35%
- Oscar: average increase of 15.69%
- United Healthcare: average increase of 14.86%
- Better Health: average increase of 1.90%
Interestingly, Blue Cross and Blue Shield of Kansas City is the only company expected to reduce its rates, forecasting an average decrease of 4.09%.
Angela Nelson, director of the Department of Commerce and Insurance, noted, “There’s going to be some sticker shock this year.” She highlighted that while they are exploring options like healthcare.gov, insurance premiums will see an uptick.
This increase isn’t usual for annual hikes, according to Nelson, who attributes some of the volatility to the pandemic. “We’re dealing with rising costs influenced by inflation throughout the healthcare system,” she remarked. Essential expenses like drug prices and healthcare worker salaries are all on the rise, leading to increased costs overall.
Nelson mentioned that employees with insurance from their employers might see some of the increase covered, but those who buy their own plans—like small business owners—will bear the full brunt.
If Congress chooses not to extend the ACA subsidies, many may be left without options. Heidi Lucas, executive director of the Rural Health Association, expressed concerns about escalating costs, noting, “People are already worried about rising prices for basics like milk and eggs.” Rising health insurance prices could add an extra layer of difficulty.
Lucas’s organization aims to bridge healthcare gaps in rural areas, emphasizing the financial choices families will have to make. “They’ll have to decide how to budget for rising costs—30%, 40%, even 100%,” she stated. This could force families to reconsider their insurance in challenging economic times.
Moreover, Lucas cautioned that if ACA credits aren’t renewed, it could lead to a downward spiral in coverage rates. “People with marketplace ACA plans aren’t the only ones affected. Small businesses and community members will feel the strain,” she explained, stressing that such increases could hinder economic growth.
As negotiations continue about reopening the government, there’s a tentative promise to revisit ACA credits, though uncertainty remains. Nelson suggests that the best course of action for individuals is to enroll in a plan early. “We really don’t know what’s going to happen,” she acknowledged. “If you don’t enroll by January 15, you’ll miss your chance.” However, if someone signs up and the subsidy isn’t extended, cancellation remains an option.
“Health insurance is too important to overlook,” Nelson concluded, highlighting the unpredictability of health-related emergencies. “One day you could be healthy, and the next, you could find yourself in a situation requiring extensive care.” It’s crucial to stay prepared.
