Delaware Policy Leaders Take Aim at Primary Care Reform, Health Care Affordability
Delaware’s health care costs have been climbing for years, and state leaders say the solution starts with strengthening primary care.
On March 5, 2026, Delaware legislative leaders and Insurance Commissioner Trinidad Navarro announced Senate Bill 1, a proposal aimed at improving access to affordable, high-quality care while rebalancing how health care dollars are spent across the state. The bill focuses on primary care investment, cost containment, and long-term affordability for patients, providers, employers, and policyholders.
Why Senate Bill 1 Matters
For more than a decade, Delaware has seen health care costs rise faster than the national average. State leaders argue that high costs have not translated into better health outcomes for residents.
Insurance Commissioner Trinidad Navarro said the affordability provisions in Senate Bill 1 could save more than $50 million per year, while also lowering premiums across state and commercial health plans.
The bill builds on earlier Department of Insurance efforts that invested more than $203 million in primary care from 2022 through 2025. Even with continued primary care investment, officials estimate Senate Bill 1 could save a cumulative $282 million over the first five years across state-regulated health plans and enrollees.
The Primary Care Problem in Delaware
Primary care is often the first step in preventing bigger, more expensive health issues.
It helps with:
- Preventive care
- Chronic disease management
- Early diagnosis
- Health equity
- Reducing unnecessary emergency room visits
- Keeping patients connected to regular care
But Delaware is facing a serious primary care shortage. According to the announcement, Delaware is the state struggling the most with primary care provider shortages, with only 16.36% of need met.
That matters because having a regular source of primary care can make a major difference. Research cited in the announcement found that adults with chronic disease who had a usual source of primary care had nearly 54% lower total health care expenses.
What Senate Bill 1 Aims to Do
Senate Bill 1 is designed to stabilize and strengthen Delaware’s primary care system while addressing the larger issue of health care affordability.
The bill aims to:
- Increase sustainable investment in primary care
- Support workforce stabilization for providers
- Encourage payment reform
- Reduce avoidable emergency care
- Reduce hospitalizations
- Help manage long-term chronic conditions
- Lower premiums through cost containment strategies
In plain terms, the goal is to spend health care dollars earlier and smarter, rather than waiting until patients need more expensive hospital-based care.
Why Hospital Costs Are a Major Focus
Hospital costs are a major driver of health care spending in Delaware.
According to the announcement, Delaware ranks:
- No. 7 nationally for highest inpatient hospital prices
- No. 4 nationally for highest outpatient hospital costs
Hospital inpatient services make up the largest share of Delaware’s health care spending, while hospital outpatient services are the third largest. These costs have grown more than 300% over the last 20 years, compared with a national average closer to 150%.
That gap is one reason policymakers are focusing not only on how much care people use, but also on the price of care itself.
Potential Savings for Delaware Families and Employers
Supporters of Senate Bill 1 say the bill could create major savings if its model is adopted more broadly.
House Health and Human Development Committee Chair Nnamdi Chukwuocha said that if commercial plans throughout Delaware adopt similar models, cumulative savings could reach up to $442.7 million.
The announcement also notes that Brown University policy experts reviewed the legislation and estimated that Delaware employers, health plans, and policyholders could save approximately $442.7 million annually if Senate Bill 1 were adopted across the commercial market.
Those savings would not be retained by insurers. Instead, under medical loss ratio standards, the savings would belong to health plans, employers, and policyholders. The Department of Insurance would assess savings during the rate review process to negotiate lower premiums.
Support From Delaware Physicians
The legislation has received early support from health care providers and organizations across the state.
The Medical Society of Delaware endorsed the policy direction behind Senate Bill 1, saying it reflects priorities such as:
- Sustainable primary care investment
- Workforce stabilization
- Payment reform
- Long-term support for community-based practices
- Access to high-quality, affordable primary care
Brian J. Galinat, MD, MBA, President of the Medical Society of Delaware, said the bill represents a meaningful step toward strengthening Delaware’s health care delivery system.
What Happens Next
Senate Bill 1 has been assigned to the Senate Health & Social Services Committee.
Supporters say the legislation is needed to prevent Delaware from moving backward on primary care reform. Without the bill, current public policy efforts around primary care could sunset, ending programs designed to support value, affordability, and access.
The Bottom Line
Senate Bill 1 is about more than lowering health care costs on paper.
It is about whether Delaware can build a health care system that puts primary care closer to the center, supports providers, reduces unnecessary hospital spending, and gives families a better chance at affordable care.
The proposal still has to move through the legislative process, but its message is clear: Delaware leaders believe health care affordability starts with investing in the care that helps people stay healthier in the first place.
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