Most beneficiaries will be able to avoid the full rate increase through subsidies offered through the Affordable Care Act. By negotiating lower rates, the Governor was able to save money for both beneficiaries and the taxpayers who pay their subsidies. These new rates will go into effect on January 1st, 2026.
As part of her broader efforts to lower healthcare costs and increase access for the people of Arkansas, Governor Sanders signed legislation making Arkansas the first state in the nation to ban Pharmacy Benefit Managers (PBMs) from simultaneously owning pharmacies. In an op-ed published in the New York Times, the Governor explained how PBMs inflate drug prices and reduce patient access.
The Governor also established the Arkansas Strategic Committee for Maternal Health in 2024, creating a statewide effort to reduce maternal mortality and improve healthcare outcomes for moms and babies. Through that group’s work, the Governor championed and signed the Healthy Moms, Healthy Babies Act in 2025, directing more than $45 million annually to improve maternal health outcomes.
The Governor’s August 6th announcement on insurance rates is available here.
A full breakdown of health plans and rate changes is available here. This represents the first time Arkansas has rejected a proposed insurance rate increase for being excessive.