Press Release: 3/26/2026

Health Insurance Costs and Policy Choices Facing the City of Boston

 

BY  BMRB · MARCH 25, 2026

On February 26th of this year, Boston’s Chief Financial Officer informed the Boston City Council that, without urgent changes to current health insurance plans, the City will have to raise employees’ premiums at a record year-over-year increase of 22.6%. After years of relatively stable health insurance premiums, what factors contributed to this increase? How does the City manage revenues and expenses associated with its health plans? What are the long-term policy options to sustainably stabilize premiums? To answer these questions and more, this Special Report lays out the advantages and disadvantages of Boston’s self-insured health care benefits, the evolution of Boston’s health insurance costs, and policy considerations for managing health care expenses and revenues in the future.

 

To learn more about the context of Boston’s recent health care cost increases and Boston’s policy options, read our full Special Report here: