Salem, Ore. — The Oregon Division of Financial Regulation is preparing to launch its annual health insurance rate review process for the 2027 plan year, warning that federal policy changes could significantly affect what many Oregonians pay for coverage next year.
State regulators said insurance companies submitting proposed rates in June are expected to point to several emerging federal issues, including the possible expiration of enhanced Affordable Care Act subsidies, the impact of tariffs, and changing federal guidance.
“The loss of the federal Affordable Care Act (ACA) subsidies, impact of tariffs, and changing federal guidance have left more Oregonians vulnerable to health care costs generally,” said Oregon Insurance Commissioner TK Keen. “Oregonians who buy their own coverage or work for small businesses deserve to know about the rate filing process, what’s driving rates to increase or decrease, and how to share their perspective.”
The rate review process applies to people who purchase insurance through the individual marketplace or directly from insurers, as well as employees of small businesses with fewer than 50 workers. It does not affect people covered by Medicare, Medicaid, the Oregon Health Plan, or large employer and self-insured plans.
According to the division, Oregon’s individual health insurance market covered 148,376 people as of December 2025, while the small group market covered 137,485 people. Combined, the two markets insure roughly 285,861 Oregonians, or about 6.6% of the state population.
Under Oregon law, insurance companies must submit detailed actuarial data to justify proposed rate increases. Regulators review projected medical and pharmaceutical costs, administrative expenses, utilization trends, and reserve requirements to determine whether rates are excessive, inadequate, or unfairly discriminatory.
The division emphasized that it does not set insurance rates, but instead reviews insurer proposals to ensure they comply with state law and are financially sound.
Officials said Oregon’s reinsurance program continues to help stabilize the individual market by reducing premiums between 6% and 8% annually. The program uses a mix of state and federal funding to offset high-cost claims. Regulators are pursuing a renewal of the program with support from Oregon Gov. Tina Kotek.
Insurance companies have historically cited rising medical and prescription drug costs as major drivers of premium increases. This year, regulators expect insurers to also reference shrinking enrollment pools and uncertainty surrounding federal subsidies for ACA plans.
DFR officials said the agency’s actuaries will independently evaluate those claims rather than automatically accepting insurer justifications.
The review process will include public hearings where insurers present their proposed rates and answer questions from regulators. State officials are encouraging consumers to participate and submit comments about their experiences with coverage, claims, provider networks, and plan changes.
Key dates in the 2027 review process include:
- June 3: Insurance company rate filings due
- July 13: First virtual public hearing
- July 31: Second virtual hearing, if needed
- Early August: Preliminary rate decisions released
- Early September: Final rate approvals issued
Officials noted the timeline could shift depending on additional federal guidance. Last year’s rate decisions were delayed until October because of federal delays.
More information about the rate review process and future public comment opportunities is available through Oregon Health Rates and the Oregon Division of Financial Regulation.
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