Tennessee's insurance regulators approved increases of more than 40 percent for Obamacare plans next year, according to the Tennessean.
Blue Cross-Blue Shield has the highest rate hike for 2017 at 62 percent, nearly double the 36 percent increase adopted for 2016, the newspaper said.
Cigna's boost of 46 percent was approved, as was Humana's boost of 44 percent. Both insurers had asked for increases of about 20 percent but then asked the insurance regulator for higher rates after looking at what expected claims were.
Tennessee is likely to not be the only state facing higher Obamacare premiums in 2017. An analysis from consulting firm Avalere Health projected that average increases for the silver plan, the middle tier of plans, would be more than 20 percent.
Sen. Lamar Alexander, R-Tenn., previously criticized the healthcare law after the new proposed rates were announced, saying that Obamacare is "spiraling out of control."
The rate increases aren't the only bad news for Obamacare on Tuesday.
The insurance startup Oscar said on Tuesday that it will pull out of two Obamacare marketplaces next year in Dallas and New Jersey due to "uncertainties that will make it challenging for us to operate effectively."
Oscar doesn't have a large footprint in Obamacare, having a presence only in Los Angeles, New York, San Antonio and Orange County, Calif. It plans to expand into San Francisco's Obamacare marketplace next year.
Oscar CEO Mario Schlosser told Bloomberg that there are flaws in the way the individual market is set up. The individual market is for people who don't get insurance through work, and a majority of the market contains Obamacare.
Oscar is the latest Obamacare insurer to flee some markets. Aetna announced recently it will exit about 70 percent of its Obamacare markets next year and UnitedHealth will leave most of the 34 states it offers plans in.
The reason is mounting financial losses for insurers due to a sicker-than-expected enrollment population.