New Jersey public employees are facing an up to 36.5% rise in health insurance premiums in 2026.
The State Health Benefits Program for county and local employees could see costs rise 36.5%, school employees’ premiums could rise 29.7%, and state workers could see a 21% increase, according to an analysis by Aon published by Gov. Phil Murphy’s office on July 9.
Higher premiums are being recommended because of large plan losses in previous years, rising medical and prescription drug prices (especially from weight loss drugs like Wegovy and Ozempic), more healthcare utilization, healthier employees leaving the plans and the need to rebuild emergency cash reserves.
The rates are recommendations until they are voted on by state committees overseeing the health plans.
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