Quick answer
On a job-based plan, the average worker paid $6,850 a year (about $571 a month) toward family coverage in 2025, and the employer paid the rest of a $26,993 premium. Buying your own plan costs more: a benchmark silver plan for two 40-year-old parents and three young children averages about $2,370 a month in 2026 before subsidies. Families earning up to $150,600 can get a premium tax credit that often cuts that by more than half.
Key takeaways
- Employer family coverage usually costs the same whether you cover one child or three. The average worker paid $6,850 a year for it in 2025.
- Marketplace prices depend on everyone’s age and where you live, and you pay premiums for no more than three children under 21.
- For 2026 coverage, a family of five qualifies for a premium tax credit with income between $37,650 and $150,600.
- Kids often qualify for Medicaid or CHIP at incomes far above the adult limit, up to about $98,600 for a family of five in a typical state.
- The out-of-pocket maximum for a family plan is $21,200 in 2026 and $24,000 in 2027.
On this page
What families pay for job-based coverage
KFF’s 2025 employer survey found that the average family premium reached $26,993, up 6% from 2024. Workers paid $6,850 of that on average, or about $571 a month, and employers covered the rest.
Most employers price coverage in tiers, such as employee only, employee plus spouse, employee plus children, and family. A family of five usually pays the same as a family of three. The amount still varies a lot from job to job, and workers at small firms usually pay more for family coverage than workers at large ones.
The deductible matters as much as the paycheck deduction. The average deductible for single coverage was $1,886 in 2025, and family deductibles run higher. To weigh your job’s plan against other options, see is it cheaper to get health insurance through your employer.
What a marketplace plan costs for a family of five
If you buy coverage on HealthCare.gov or your state’s marketplace, the premium depends on each person’s age, where you live, the plan level and tobacco use. Children cost less than adults, and you only pay for the three oldest children under 21. A fourth or fifth child under 21 adds nothing to the premium.
This example uses KFF’s national average benchmark silver premium for 2026, which is $625 a month for a 40-year-old:
| Who’s covered | Monthly premium before subsidies |
|---|---|
| Two 40-year-old parents | About $1,250 |
| Three children under 15 | About $1,120 |
| Family of five | About $2,370 |
Prices swing widely by state. The average benchmark premium for a 40-year-old runs from about $400 a month in New Hampshire to about $1,300 in Vermont. Our state guides cover New York, Florida, Texas, California and Ohio.
Bronze plans cost less each month but have higher deductibles, and gold plans cost more up front with lower deductibles. The difference between bronze, silver, gold and platinum plans explains the trade-off.
How subsidies change the price
Most families don’t pay full price. The premium tax credit limits what you pay for the benchmark silver plan to a share of household income. For 2026 coverage, a family of five qualifies with income between 100% and 400% of the federal poverty level, or $37,650 to $150,600. The larger credits that ran through 2025 expired, so families above that range now pay full price.
| Household income | Your share of income | Your cost for the benchmark silver plan |
|---|---|---|
| $60,000 | About 4.6% | About $230 a month |
| $90,000 | About 8.0% | About $600 a month |
| $120,000 | 9.96% | About $1,000 a month |
| $150,000 | 9.96% | About $1,245 a month |
| $160,000 | No credit | About $2,370 a month |
If your income is under 250% of the poverty level (about $94,100 for a family of five), silver plans also come with cost-sharing reductions that lower deductibles and copays. How health insurance subsidies work goes through the details.
For 2027 coverage, the income limits rise with the new poverty guidelines (the 400% cutoff for a family of five becomes $154,720), and the most anyone pays for the benchmark plan goes up to 10.22% of income. Insurers have asked for a median premium increase of about 15% for 2027, so check your new price when open enrollment starts on November 1.
Medicaid and CHIP for your children
Children qualify for Medicaid or the Children’s Health Insurance Program at much higher incomes than adults. In a typical state, kids in a family of five qualify with household income up to about $98,600, and some states go higher. Coverage is free or close to it, and kids can be on Medicaid or CHIP while their parents have a marketplace or job-based plan.
Parents can qualify too. In states that expanded Medicaid, adults in a family of five are eligible with income up to about $53,400. See health insurance for children and health insurance for low-income families for how to apply.
Ways to pay less
- Compare your job’s family plan with the marketplace. If family coverage through work costs more than 9.96% of household income in 2026 (10.22% in 2027), your spouse and children may qualify for a premium tax credit even though you have coverage at work.
- Pair a bronze plan with an HSA. Bronze plans have been HSA-eligible since 2026, and a family can put up to $8,750 in 2026 ($9,000 in 2027) into a health savings account tax-free.
- Check silver if you qualify for cost-sharing reductions. The lower deductible can save more than a cheaper bronze premium if anyone needs regular care.
- Keep your income estimate current. Report raises and pay cuts to the marketplace. Starting with 2026 coverage, there’s no cap on how much extra credit you may have to repay at tax time.
- Be careful with cheaper alternatives. Short-term plans and health care sharing ministries cost less, but they can exclude pre-existing conditions and aren’t required to pay claims the way insurance is.
For more on insuring a household, read family health insurance.
State-by-state costs: Arizona, California, Florida, Georgia, Illinois, Michigan, New Jersey, New York, North Carolina, Ohio, Pennsylvania, Texas, Virginia and Washington.
See what family plans cost where you live: compare quotes by ZIP code.
Frequently asked questions
Is it cheaper to put everyone on one family plan?
Usually. On a job-based plan, the family tier covers everyone for one price. In the marketplace, the plan is priced person by person, but you only pay for three children under 21. Sometimes it costs less to enroll the kids in CHIP and buy a plan just for the parents. See covering all family members under the same policy.
What’s the most a family of five could pay out of pocket?
For marketplace plans, the family out-of-pocket maximum is $21,200 in 2026 and $24,000 in 2027, not counting premiums. Many plans set lower limits. Here’s how an out-of-pocket maximum works.
How much does a smaller family pay?
Less, mostly because there are fewer people to cover. See what a family of 4 and a family of 3 pay.
When can we sign up?
During open enrollment, which runs November 1, 2026, to January 15, 2027, on HealthCare.gov (sign up by December 15 for coverage starting January 1), or within 60 days of a qualifying event like a birth or losing job-based coverage.
Sources
- KFF: 2025 Employer Health Benefits Survey
- KFF: Marketplace average benchmark premiums by state
- IRS: Rev. Proc. 2025-25, 2026 premium tax credit percentages
- HealthCare.gov: Lower costs on health insurance
- Medicaid.gov: CHIP eligibility and enrollment
- Peterson-KFF Health System Tracker: Why ACA Marketplace premiums are going up in 2027
This article is general information, not tax, legal or insurance advice. Premiums and rules vary by state and change every year, so check HealthCare.gov, your state’s marketplace or a licensed agent for your family’s situation. Last reviewed September 2026.