John,
Open enrollment on the Affordable Care Act Marketplace begins this weekend. But instead of renewing at the same rate, or maybe even a lower price, millions of people are about to get sticker shock.
Because Congress has failed to extend the enhanced ACA premium tax credits, health insurance rates for folks on the healthcare exchange will more than double, putting health insurance out of reach for millions.[1]
Without Congressional action, premiums are projected to soar across the country. A person who currently pays $100 a month for coverage could soon owe $300 for that same plan―paying thousands more each year.
The burden will fall hardest on older adults not yet on Medicare, small business owners, and middle-class families. In some states, rates will be three times as much, if not more. Nearly half of ACA enrollees are on auto-renewal plans, which means millions will open their bills in January to find costs that have suddenly doubled or tripled without warning.
Congress can still prevent this. Extending the enhanced ACA premium tax credits would keep coverage affordable for more than 24 million people. Enrollment in the ACA Marketplace has more than doubled since the enhanced premium tax credits were introduced. But if lawmakers fail to act, those gains could be wiped out.
While Speaker of the House Mike Johnson has had the House on recess since September 19th, refusing to negotiate with Democrats on health insurance subsidies, there are reports on Capitol Hill that a bipartisan group of senators could be negotiating for a vote.[2]
Tell your Senators to extend the enhanced ACA premium tax credits now, and protect affordable health care for millions of Americans.
According to the Urban Institute, 4 million people could lose coverage entirely if these tax credits expire.[3] A worker earning $28,000 a year could see their annual premium jump from about $325 to over $1,560.[4] Nearly 90% of Marketplace enrollees currently benefit from these credits. Without them, many will face impossible choices between keeping health insurance and paying rent.
Without affordable insurance, families delay care, skip prescriptions, and go without coverage altogether. The health and financial well-being of millions is on the line, and every day of inaction brings us closer to a national healthcare disaster.
Healthcare should be affordable, stable, and reliable for every family in this country. It should not depend on political games in Washington or temporary relief measures that expire every few years. The enhanced ACA premium tax credits proved that when the federal government steps up, good things happen: millions gained coverage, medical debt went down, and communities became healthier and more secure. Congress must not undo that progress now.
Tell the Senate to work across the aisle and extend the enhanced ACA premium tax credits before premiums skyrocket and millions lose their coverage.
Together, we can protect affordable healthcare for every family that depends on it.
David Kass
Executive Director
Americans for Tax Fairness Action Fund
[1] ACA Insurers Are Raising Premiums by an Estimated 26%, but Most Enrollees Could See Sharper Increases in What They Pay
[2] Bipartisan talks to end shutdown gaining steam, senators say
[3] Four Million People Will Lose Health Insurance If Premium Tax Credit Enhancements Expire in 2025
[4] Calculator: ACA Enhanced Premium Tax Credit
