People covered under the New York State-run health exchange should expect their premiums to rise nearly 8% by 2020.

Times Union reports that health insurance premiums for New York's state-run health exchange could rise anywhere from 6.8% to 7.9% by next year. The increases are mainly caused by rising hospital and drug costs. Also because the federal health insurance tax has been reinstated for next year. The rate increases were approved by the New York State Department of Financial Services.

According to Times Union, the Department of Financial Services announced on Friday, August 9, 2019, that it had saved consumers over $50 million and small businesses over $313 million by lowering the amount insurers initially wanted to charge. Insurers wanted rates to increase by 9.2% for individuals and 12.2% for businesses.

The premium increase will depend on your insurer, according to Times Union.

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