Oregon Health Insurance Premiums Could Jump 17% as Thousands Drop Coverage

Healthcare for Oregonians threatens to become even more unaffordable as insurers request double-digit price hikes in 2027.

The increases will affect people who pay for their own health insurance and those covered by small business employers with 50 or fewer workers.

Insurance Companies Want an Average 17% More Next Year

Health insurers are seeking an average 17% monthly premium increase. They blame the increase on the shrinking number of policyholders, uncertainty surrounding federal policy, increased prescription drug tariffs, and medical costs.

Private medical insurance holders will pay an average 17.5% more next year, while those insured through their small business employers face a 17% increase.

The annual spiral in healthcare insurance is forcing more people to opt for no cover at all. This trend leaves insurance companies with little option but to split increasing costs among fewer policyholders, resulting in higher premiums.

Thousands of Oregonians Have Already Dropped Their Healthcare Insurance

The number of Oregonians with private healthcare insurance dropped by 21,000 this year – from 161,000 in 2025 to 140,000 in 2026.

According to industry observers, when pandemic-era federal subsidies expired, consumers were left with smaller tax credits or without any assistance.

This forced many Oregonians to buy more affordable plans or to drop out of the private insurance pool. The result was increased premiums for the remaining policyholders.

Oregon small business participation was another casualty, shrinking from 142,000 in 2025 to 134,000 in 2026.

The largest average increase, at 25% in the private healthcare insurance markets, is being sought by Moda Health, while the six insurers in the small business sector are asking for a 17% average increase.

Officials with the Oregon Division of Financial Services have until September to assess filings before deciding if the proposed increases are justified.