Hi — thanks for posting, and you're definitely not alone on this one. The Mosaic effect is still there, however, the masking workflow changed significantly in Premiere Pro 2026, and the "Masks" section that used to live inside the effect settings is gone. Here's how the new workflow works for blurring a face or license plate:
The new approach (draw mask first, then apply effect):
Select your clip in the timeline
In the Program Monitor toolbar, choose the Ellipse, Rectangle, or Pen tool
Draw your mask directly over the face or license plate in the Program Monitor
Open the Effects panel and apply Mosaic (or Gaussian Blur) to the clip
The effect will apply only within the masked area
The key change: masks are now created at the clip level rather than inside individual effects. Once a mask exists on a clip, any effect you apply respects it.
I hope this is the solution you were looking for.
Thanks,
Kevin