Listen to this article

The basics:

• NJ DOBI reports 2026 individual-market premiums will rise an average 16.6%
• Expiration of enhanced federal premium tax credits could push some costs up nearly 175%
• Over 466,000 Get Covered NJ enrollees currently rely on these subsidies
• Open enrollment begins Nov. 1; households may face higher costs or reduced coverage

The New Jersey Department of Banking and Insurance released final 2026 health insurance rates Oct. 27 for the individual market — including the Get Covered New Jersey exchange — and the findings are stark.

According to NJ DOBI, premiums are set to surge by as much as nearly 175% for enrollees. The increase is largely due to the expiration of enhanced federal premium tax cuts. That issue is also at the heart of the broader federal government funding fight taking place in Washington.

In a press release, NJ DOBI Commissioner Justin Zimmerman noted the realities – as well as continued his advocacy for congressional action on the expiring tax credits.

“Consumers will soon be shopping and comparing health plans, and without these enhanced tax credits, they will be confronted by startlingly higher prices for coverage,” said Zimmerman. “We are significantly concerned that many households will be forced to choose plans with lesser coverage or choose no coverage at all as a result.

“The Department stands ready to act as quickly as possible, at any time, if and when Congress takes action to ensure New Jersey consumers continue to have access to quality, affordable health insurance with enhanced premium tax credits.”

We are significantly concerned that many households will be forced to choose plans with lesser coverage or choose no coverage at all as a result.
— Justin Zimmerman, commissioner, NJ DOBI

Key takeaways from the DOBI announcement include:

• Average 16.6% increase in premiums for 2026 across the individual market (on- and off-exchange plans).
• Expiration of enhanced premium tax credits at year-end will compound rate hikes, resulting in average cost increases of nearly 175% for enrollees.
• More than 466,000 New Jersey residents currently receive enhanced financial help through Get Covered New Jersey. That figure represents 91% of all enrollees.
• A record 513,217 residents enrolled in a plan through Get Covered New Jersey in 2025. The total marks a 108% increase from when the state launched the marketplace in 2020.
• Department analysis finds that the expiration of enhanced tax credits and federally imposed changes to the program will cause nearly 60,000 residents enrolled in the state marketplace to lose federal financial help.

Open enrollment for 2026 coverage begins Nov. 1. Residents can preview plans now via the Get Covered New Jersey Shop and Compare tool here.

The credits were first introduced under the American Rescue Plan (2021) and then extended through the Inflation Reduction Act (2022). NJ DOBI’s analysis paints a grim picture about what will happen if they expire. The department offered a few real-world examples:

• A family of four in Ocean County earning about $131,000 would see premiums jump $26,000 a year. The increase would consume 26% of their income.
• A couple in their early 60s in Middlesex County with a household income of $94,000 could face a $22,000 annual increase. That works out to 31% of income.
• Projections for the average premium increase per enrollee exceed $2,780 per year once, following the combination of rate hikes and the loss of federal aid.

Gov. Phil Murphy and Zimmerman have repeatedly warned of significant health insurance premium increases if Congress fails to renew the tax credits. Murphy joined 17 other governors last month urging lawmakers to extend the program.

“Continued Congressional inaction on extending the enhanced premium tax credits will result in higher insurance costs for New Jersey residents who count on Get Covered New Jersey for health coverage for themselves and their families,” said Zimmerman. “Get Covered New Jersey is here to help consumers navigate federal changes to the program. Residents can access free help from trained professionals who can help them find a plan that meets their needs.

“The Marketplace remains a source of quality, affordable coverage with financial help still available for the majority of consumers.”

More information is available here.