This revised report on insurers’ initial rate filings indicates that ACA Marketplace insurers are proposing a median premium hike of 7% for 2025, which is comparable to the 6% increase filed for 2024. Insurers attribute the premium surge for 2025 primarily to escalating healthcare costs — especially in hospital care — along with a rise in the use of weight loss and other specialized medications, as highlighted by KFF’s review of publicly available documents.

The proposed rate adjustments by insurers, most of which range from 2% to 10%, may be subject to changes during the evaluation process. While the vast majority of Marketplace participants are subsidized and are not anticipated to bear these added expenses, increases in premiums typically lead to higher federal expenditures on subsidies.

This analysis is accessible on the Peterson-KFF Health System Tracker, a resource dedicated to monitoring and evaluating the performance of the U.S. healthcare system.