Shocked by Marketplace Plan Premiums? Here’s What’s Happening and What You Can Do
If you’re a 1099 worker shopping for ACA health insurance this year, you might have felt your jaw drop. Premiums are higher than expected, and you’re not imagining it.
Here’s what’s driving the jump and how you can lower your premium costs.
Why ACA Prices Are Up
Insurance premiums are rising.
Insurers are asking for bigger increases than usual. In fact, the median proposed 2026 premium is about 18% higher than last year (KFF). Higher costs come from hospitals, specialty drugs, and general healthcare inflation.Enhanced tax credits are ending.
Temporary enhanced premium tax credits that helped more people afford coverage are set to expire at the end of 2025. Congress is still talking, but it’s unlikely they’ll be extended (Reuters). Without them, many enrollees will see their premiums jump even higher.
How to Lower Your ACA Costs (With Tradeoffs)
Here’s where you have options and what you give up:
Switch to a Lower Metal Tier (Bronze): You will lower the monthly premium, but will have a higher deductible and out-of-pocket costs. Bronze plans still cover essential health benefits and protect you from catastrophic costs, but expect to pay more before insurance kicks in.
Choose an HMO over a PPO: These are usually less expensive, but you’ll need referrals for specialists and must stay in-network. This still offers full coverage but you have less flexibility than a PPO plan.
Pick a narrower network: It might lower the premium, but offer fewer doctors and hospitals. For some people, this is fine. For others (especially if you want specific specialists), it’s a dealbreaker.
Double-check your estimated income. Correctly estimating your income when you apply for health insurance could qualify you for some serious government discounts (otherwise known as subsidies), making your monthly payments significantly cheaper. Sometimes a small change can save hundreds per month.
So remember, take it step by step, use the Stride shopping tools to compare plans, add in your doctors and prescriptions, and pick coverage that balances cost, benefits, and peace of mind.