Michigan small group rate increases for 2027, explained.
Michigan small group health insurance rates for 2027 were filed with the state at an average increase of about 9.6%, down from the 11.1% approved for 2026. Your own renewal will not match that number. This page explains why, and what to do about it. CFH is an independent, middle-market employee benefits consulting firm. See small group health insurance in Michigan.
The statewide average is lower, but most insurers are asking for more.
The Michigan Department of Insurance and Financial Services publishes every insurer’s requested change for the small group market. These are the filed figures, and final approved rates can differ.
A 9.6% Average
The average proposed 2027 increase for small group is 9.6%, compared with 11.1% approved for 2026. That is the headline number most summaries repeat.
Five of Eight Rose
Five of the eight small group insurers filed larger increases than last year. The average still fell because it is weighted by enrollment, and the largest insurer asked for less.
HMO and PPO Differ
Weighted by enrollment, HMO plans were filed at about 11.1% and PPO-type plans at about 7.9%. In our reading, the state table does not label the split, so most summaries miss it.
Your renewal is not the state average.
The filed figure is an average across every small group in the state. Three things move an individual group away from it.
Your Plan Type
The filed change that applies to you is your insurer’s change for your product, not the statewide blend. Two groups with different plan types can see very different renewals.
Your Census
Michigan rates each member individually by age, area and tobacco use, and does not allow a standard family tier. A younger or older group moves away from the average.
Your Enrollment
Rates depend on how many employees actually enroll. A group with thin participation can be priced differently from one with the same headcount and strong take-up.
Three questions to put to your insurer or broker before you accept.
Which Filed Rate Applies
Ask which filed increase applies to your product, and how your own census moved the final number away from it.
What Is the Rate Based On
Rates rest on the census and eligible counts submitted. Ask for the enrollment basis and confirm it is correct before you accept.
What Else Was Priced
Ask for a plan-replicating quote from other insurers, so you are comparing the same benefits and not a different plan at a different price.
Michigan 2027 small group rate increases: common questions.
How Much Are Michigan Small Group Rates Rising in 2027?
As filed, the statewide average is 9.6%. Individual insurers range widely, and your own renewal depends on your plan, your census and your enrollment.
Is the 14.2% Figure the Same Thing?
No. That figure is for the individual market. Small group was filed at 9.6%, so quoting the individual number overstates it by about five points.
Who Counts as a Small Group in Michigan?
Employers with up to 50 employees are rated as small group. A group can be as small as one W-2 employee, at any time of year, and no minimum employer contribution is required.
Do Larger Employers Face the Same Filing?
No. Employers with more than 50 employees are not required to file rates with the state, and the state has no authority over self-funded plans.
Can We Change the Increase After It Is Filed?
The filed rate itself is set. What you can change is the insurer, the plan design and the funding model, and that is where the real choices are.
When Should We Review Our Renewal?
As soon as you receive it, and ideally about ninety days out, so there is time to compare alternatives before the deadline.
Send us your renewal.
We’ll tell you whether it looks competitive, where we see opportunity, and the five questions we’d put to your carrier. No cost, and no obligation to move anything.
The renewal letter
Your current plan summary
Contribution split by tier
Enrolled counts by tier
Four documents — two more if your group is 50 or more. Nothing else; every extra one is a reason to postpone.
An independent employee benefits consulting firm. We look at the entire benefits program — cost, plan performance, risk and administration.
Switch to CFH. Unhappy with your broker? Your employees won’t notice. You will. →
Cookies on This Site
We use cookies to keep the site working properly and to understand how it is used. You can decline anything that is not essential. See our Privacy Policy for the detail.
- Essential — needed for the site to load and for you to move around it. These cannot be switched off.
- Analytics — tell us which pages get read, so we know what is worth writing more of.
- Advertising — set by third parties such as ad and social platforms to measure and target campaigns.