Arizona State – Major Rate Hike Proposed for ACA Plans
Many Arizonans may face a sharp rise in health insurance rates, potentially increasing the cost of medications and essential medical services.
The Arizona Department of Insurance and Financial Institutions (DIFI) announced on Friday that insurers submitted preliminary rate increases for 2026 Affordable Care Act (ACA) plans. The proposed hikes range from 2.5% to an alarming 55.3%.
Why Are ACA Health Insurance Rates Increasing?
DIFI officials cite several factors behind these proposed changes. Rising healthcare costs, including hospital stays, doctor visits, and prescription drugs, are driving the rate adjustments. Changes at the federal level also play a significant role in shaping insurance costs.
Federal Tax Credits Set to Expire in 2025
Officials warn that federal tax credits, which help millions nationwide afford monthly premiums, will expire at the end of 2025 unless extended. If these credits lapse, consumers will face higher out-of-pocket costs for their health coverage.
Tariffs Could Push Costs Even Higher
State regulators point out that tariffs significantly impact proposed rates. Increased tariffs on pharmaceuticals and medical supplies could send costs soaring, further raising health insurance premiums.
What Arizonans Should Do During Open Enrollment
In response to these proposed changes, state officials urge residents to review their health insurance options during the open enrollment period starting November 1, 2025. DIFI advises looking beyond the monthly premium, as a lower premium doesn’t always mean a more affordable plan overall.
Patients should confirm that their primary doctors, hospitals, and pharmacies are in-network. Arizonans can compare all available plans by visiting HealthCare.gov.
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