Updated 2026
Health insurance renewals are arriving, and figuring out your options can feel overwhelming. Premiums are rising, options are changing, and it’s not always clear whether your current plan is still the best fit. Before signing on the dotted line, consider these six critical questions to protect your employees and your budget.
1. How much is the renewal increase, and what are the year-two risks?
When you receive your 2027 renewal, the first number you’ll probably look at is the percentage increase. And with increases of 20% to 40%, that’s a valid concern. However, that’s only part of the picture. Before accepting a new rate, it’s important to understand what the plan could cost not just in 2027, but in the following year.
Some plans may offer an attractive rate for the first year but carry more uncertainty at the next renewal. Level-funded plans, for example, can provide competitive upfront pricing, but claims experience can influence future rates. A plan that looks like a great deal in year one may not remain as competitive in year two.
Ask your benefits advisor to look beyond the immediate renewal and help you understand the potential risks and costs over time. Comparing the total expected cost over two years can give you a much clearer picture of the value you're actually receiving.
2. Are deductible credits applied correctly?
Deductible credits can offset costs, especially if employees have spent money on medical care earlier in the year. Make sure your plan applies these credits accurately. Missing or misapplied credits can increase out-of-pocket expenses and affect employee satisfaction. Ask how deductible credits work with your specific plan and how employees can make sure they're receiving the credits they've earned.
3. Does the network provide the access your employees need?
Network choice is an important part of evaluating your health plan for 2027. A lower premium doesn't necessarily mean a better plan if employees have difficulty accessing the healthcare providers they use.
Before choosing a plan, look beyond the size of the network and determine whether it provides meaningful access to the providers your employees actually need. If you have remote workers, you should also consider employees who live or work in different geographic areas. A network that works well for one employee may be less convenient for another.
Ultimately, network value is about providing convenient access to quality care at a cost that makes sense for both the employer and employees.
4. How does the service model affect your experience?
The carrier and service model you choose can affect much more than your monthly premium. For a small business, the amount of time spent dealing with enrollment questions, billing problems, claims issues, and employee concerns can quickly add up.
When comparing plans, ask what kind of support you'll receive throughout the year. Will you have a dedicated representative? Who will help resolve claims or billing issues? How quickly can you expect answers when a problem comes up?
Local carriers often provide hands-on support, while national carriers may offer broader options but less personalized service. These service differences can have a major impact on your administrative workload and employee satisfaction.
5. Is there a rate guarantee, and for how long?
A rate guarantee can provide valuable budget stability, particularly when healthcare costs and insurance rates continue to change. While some plans provide a traditional 12-month rate guarantee, others may offer extended rate guarantees.
For qualifying businesses, changing plans during the year may provide an opportunity to secure a rate that extends through the following renewal cycle. Instead of simply accepting a January 1 renewal and facing another rate change 12 months later, an employer may be able to use an off-cycle renewal strategy to gain additional rate stability.
A longer rate guarantee can make budgeting easier, reduce renewal uncertainty, and give you greater predictability when planning your business expenses.
6. Have you compared your renewal with other options?
A renewal isn't necessarily something you have to accept as-is. Before signing, take the opportunity to compare your current plan with other available options, especially if you find your renewal’s terms don’t meet your business’s needs.
Another carrier, network, funding arrangement, or renewal strategy may provide better value—even if the difference isn't immediately obvious from the monthly premium.
The goal isn't necessarily to find the plan with the lowest premium. It's to find a plan that provides the right balance of cost, stability, access, and value for your business and employees. And the sooner you start considering your options, the easier it will be to find the best fit.
As a small-business owner, taking the time to ask the right questions before signing your 2027 renewal can save you money, reduce surprises, and protect your employees’ access to care. Understanding renewal increases, deductible credits, network access, service differences, and rate guarantees gives you the clarity you need and the opportunity to find a different plan that works better for your business and employees.
Please let us know if you have any questions. We understand that local companies have unique needs that most national firms don’t consider or struggle to identify. This leaves your people with a less effective, one-size-fits-all benefits plan. However, our ability to cater to the needs of our clients comes from decades of client partnerships. This perspective allows us to fully address unique needs and generate creative benefits plans.
You shouldn’t have to worry about just being a number, offering a generic plan, or getting the unique support you need. Call us today.
This Benefits Insights is not intended to be exhaustive nor should any discussion or opinions be construed as professional advice.