Health subsidies expire for millions of Americans
AP News••general
Key Points:
- Enhanced Affordable Care Act (ACA) tax credits that lowered health insurance costs for millions expired at the start of 2026, causing significant premium increases for many enrollees.
- The expanded subsidies, introduced during the COVID-19 pandemic and extended through 2025, had capped premiums for many Americans, but now average premiums are rising by 114% for over 20 million subsidized enrollees.
- The expiration is expected to lead some 4.8 million people, particularly younger and healthier individuals, to drop coverage, potentially increasing costs for remaining enrollees.
- Political efforts to extend the subsidies have stalled, with the Senate rejecting proposals and a House vote planned for January, though its success remains uncertain.
