The Connecticut Insurance Department (CID) reduced insurers' originally requested 2027 health insurance rate increases, approving an average increase of 11.3% in the individual market and 15.1% in the small group market, down from initial requests of 16.2% and 17.8%, respectively.

The decisions reduce projected premiums by approximately 30% in the individual market and 15% in the small group market from insurers' original requests, affecting approximately 220,000 Connecticut residents enrolled in fully insured individual and small group plans. CID evaluated five filings from four insurers, requesting supporting documentation and adjusting rates when cost projections were not adequately supported, a review that reduced premiums by over $100 million and limited insurer profits to less than 1% of premiums.

Insurance Commissioner Josh Hershman said, "There are no winners when health care costs continue to rise at this pace. Even when the Department reduces what insurers request, an increase is still an increase. Families and small businesses that are already stretched by the cost of health coverage continue to feel that pressure."

CID also considered public comments and testimony from its August 26 informational meeting in reaching its decisions.

"Rate review is a vital consumer protection, but it cannot solve rising health care costs on its own," Hershman said. "Premiums follow system-wide cost trends, and insurers must negotiate aggressively to manage care effectively and justify every dollar reflected in their rates. We need to move beyond the annual debate over rates and address the underlying drivers of health care costs, which is why the state is advancing the work required under Public Act 26-68 to develop a more affordable and sustainable health coverage model for Connecticut."

Open enrollment for 2027 coverage begins October 23, 2026, and CID encourages individuals and small employers to review premiums, deductibles, out-of-pocket costs, and provider networks when selecting a plan.