If you’re a 1099 worker shopping for health insurance this year, you might be doing a double take at the prices. You’re not imagining it. Premiums are going up again for 2027.
The good news? You have more ways to save than you might think. Here’s what’s driving prices up and what you can do about it.
Why Prices Are Up (again)
Insurance companies are raising rates.
For the second year in a row, insurers are asking for double-digit increases, with a typical increase of about 15% for 2027. The main reason is that health care itself keeps getting more expensive. Hospital stays, doctor visits, and prescriptions all cost more than they used to.The extra tax credits from the last few years are gone.
From 2021 through 2025, the government offered bigger tax credits that made coverage cheaper for a lot of people. Those ended at the end of 2025. That’s why many people saw a big jump in what they paid this year.But here’s the part that often gets lost: regular tax credits are still here. In 2026, about 87% of people who enrolled in marketplace coverage nationwide still got help paying for it. So don’t assume you won’t qualify. Check first.
How to Lower Your Costs (and what you give up)
Every way to save comes with a tradeoff. Here’s what to know so you can pick what works for you.
Double-check your income estimate: This is the easiest place to save. Your tax credit is based on what you expect to earn in 2027, after business expenses like mileage and your phone bill. Many 1099 workers overestimate their income and miss out on savings. Use our Calculation Your Income Worksheet to get your number right, then plug it into our Calculator.
Heads up: If your income changes during the year, update it right away. There’s no longer a limit on how much you may have to pay back at tax time if you get too much help.Consider a bronze plan, carefully. Bronze plans have the lowest monthly prices, but high deductibles. You’ll pay most of your medical bills yourself until you meet yours, and in 2027 that could add up to $12,000 in a year. Ask yourself: Could I cover my deductible if something happened tomorrow? If not, a silver plan may be a better deal, especially if your income qualifies you for extra savings. Going with bronze? Pair it with a Health Savings Account (HSA) to save tax-free toward your deductible.
Choose an HMO instead of a PPO. HMOs usually cost less, but you’ll need a referral to see specialists and you’ll have to stay in-network. Not sure which type fits you? Take our Which Health Insurance Network Type is Best quiz.
Pick a plan with fewer doctors and hospitals. Plans with a smaller network often cost less. That’s fine for some people, but could be a dealbreaker if you want to keep a specific doctor. Always check that your doctors are covered (in-network) before you switch.
Look into a catastrophic plan. These have very low monthly prices but very high deductibles, so they’re mostly for protection against big emergencies. They’re usually for people under 30, but some people over 30 can now qualify too.
See if you can get help from the company you work for. Some gig companies offer stipends or reimbursements for health insurance. For example, rideshare and delivery drivers in California may qualify for up to $579/month (in 2026) through Prop 22.
Not sure where to start?
Take it one step at a time. Our Which metal tier is best for you? quiz can help you figure out the right level of coverage. Then use Stride’s shopping tools to compare plans, add your doctors and prescriptions, and find the plan that balances cost and coverage for you.
And remember: almost 40% of people who get their insurance through Stride pay less than $50/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.