State Releases Proposed 2025 Health Insurance Rates

Proposals are lower than national average, would expand coverage options, state officials say

August 12, 2024

The Pennsylvania Insurance Department (PID) has kicked off the process for 2025 rate changes for plans on Pennsylvania’s health insurance marketplace, Pennie.

“The Shapiro administration continues to stress the importance of keeping consumers informed," said Pennsylvania Insurance Commissioner Michael Humphreys in a statement announcing the proposals.

Here’s what you need to know:

• About:  On average, insurers selling plans in the individual market have filed plans requesting an average statewide increase of 7.9 percent, which appears to be lower than the national average, state officials noted.
• The process:  Insurance companies offering individual and small group health insurance plans are required to file proposed rates with PID for review and approval before plans can be sold to consumers.
  • Final approved rates will be made public in the fall following a public comment period.
• Plan expansion:  Three expansions have been filed for 2025 coverage.
  • Geisinger Health Plan and Geisinger Quality Options propose expanding into Franklin County (individual and small group markets).
  • Health Partners Plans Inc. proposes expanding its individual Affordable Care (ACA) Act market offering into Delaware, Lehigh, and Northampton counties.
  • Pennsylvania Health & Wellness Inc. proposes expanding its individual ACA market offering into 11 counties.
• What goes into the rates:  The department noted rising drug costs, increased labor costs, and the utilization of medical services as top reasons cited for plan changes.
• Quotable:  “At PID, we see the true value in transparency at every point in the rate review process,” Humphreys said.

Additional information about the 2025 rate proposals is available online.