Minnesotans face another wave of rising healthcare costs as insurers propose average rate increases across individual and small-group markets for plan year 2027.
The Bottom Line
- Upward Trajectory: Proposed average rate adjustments in the individual market range from 10.0% to 13.0%, while small-group hikes stretch as high as 21.4%.
- Market Shifts: Aspirus Health Plan, Inc. enters the exchange as a new issuer for 2027, while UCare plans exit.
- Regulatory Gatekeeping: These figures represent initial filings submitted to the Minnesota Department of Commerce and remain subject to review and approval.
Individual and Small-Group Rate Proposals for 2027
According to filings published by the Minnesota Department of Commerce, health insurance carriers have submitted their proposed average rate changes for plan year 2027. These documents outline cost adjustments that will impact both individual buyers and small-business groups across the state.
Here is the math on the individual market filings. HealthPartners Insurance Company filed an average rate change of 12.3%, HealthPartners, Inc. at 12.4%. Meanwhile, Medica Insurance Company reported a proposed average increase of 13.0%, Blue Plus filed at 10.3%, and Quartz Health Plan MN sits at the lower end of the individual bracket with a 10.0% adjustment. Notably, Aspirus Health Plan, Inc. enters the individual exchange as a new issuer for 2027.
The small-group sector shows upward pressure. Proposed average rate changes from operators include:
| Insurer | Market Segment | Proposed Average Rate Change |
|---|---|---|
| Blue Cross Blue Shield of MN | Small Group | 11.9% |
| Blue Plus | Small Group | 10.0% |
| HealthPartners, Inc. | Small Group | 12.5% |
| Medica Insurance Company | Small Group | 18.9% |
| Quartz Health Plan MN | Small Group | 12.4% |
| Sanford Health Plan of MN | Small Group | 14.5% |
| UnitedHealthcare Insurance Company | Small Group | 21.4% |
| UnitedHealthcare of Illinois, Inc. | Small Group | 19.2% |
Structural Shifts and Provider Landscape Realignments
Beyond the raw percentages, the 2027 filings illustrate structural shifts within the state’s insurance ecosystem. Following the acquisition of the company by Medica, individual UCare coverage was maintained throughout Plan Year 2026 to facilitate an easy switch for residents, but these options will not be accessible in Plan Year 2027.
Consumers transitioning away from discontinued products will need to navigate new network options. Key elements like age, renewal date, geographic rating area, and the particular plan chosen can heavily influence how much the actual adjustment differs from the average for any given small-business employee or individual policyholder in 2027.
Regulatory Oversight and the Path to Final Approval
These are the initial rates proposed by the insurers and filed with the Departments. The Departments must review and clear these proposals, meaning the final figures that receive approval could differ from what was originally submitted.
Disclaimer: The information provided in this article is for educational and informational purposes only and does not constitute financial advice.
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