Leighanne Safford and her husband, Lorry, currently pay only $278 a month for their health insurance.
However, starting January 1, that monthly premium could soar to as much as $1,800.
They are among millions facing the potential for dramatic increases in health insurance costs due to the expiration of enhanced Affordable Care Act (ACA) subsidies at the end of December.
These enhanced subsidies were implemented under the 2021 American Rescue Plan, making health insurance more affordable for many middle-class families.
The Inflation Reduction Act of 2022 extended these subsidies through 2025, but the Republican-controlled Congress has yet to include an extension in funding bills for the current year.
It remains unclear whether these subsidies will be renewed in upcoming legislation aimed at keeping the government funded.
Safford’s concern is compounded by rollbacks to Medicaid expansion under legislation signed into law by President Donald Trump this past summer.
She fears her 13-year-old son, Adam, may lose his Medicaid coverage, prompting the family to plan for the added cost of his health insurance in 2026.
The prospect of a monthly premium of $1,800 is simply not manageable for Safford’s family without significant sacrifices, such as cutting back on essentials like food or dental care.
Consequently, they are considering switching to a cheaper, high-deductible plan that would cover the entire family.
The downside is that while the monthly premiums are lower, they face higher out-of-pocket expenses before coverage activates.
Safford acknowledged, “Right now, we’re making a decision based on the three of us being relatively healthy. But as we all know, with health, that could change any day.”
Data from the health policy research group KFF indicates that over 24 million people had health insurance through the Affordable Care Act by 2025.
Out of that number, more than 9 in 10 individuals, approximately 22.3 million, qualified for the enhanced subsidies.
It’s worth noting that this figure also includes those qualifying for the standard ACA subsidies that began in 2014 and are expected to remain in effect.
In states such as Mississippi, Florida, West Virginia, Oklahoma, Louisiana, Utah, and Alabama, at least 96% of ACA enrollees received enhanced subsidies.
Conversely, New Hampshire and Washington state had the lowest rates of 71% and 73%, respectively.
Should the enhanced subsidies lapse, nearly 4 million individuals are projected to lose coverage in 2026 due to affordability issues, as indicated by a 2024 analysis from the Congressional Budget Office.
That figure is anticipated to increase to almost 7 million by 2034.
As Edwin Park, a research professor at Georgetown University’s McCourt School of Public Policy, stated, “If Congress doesn’t act, millions of people will become uninsured. Without these subsidies, it’ll be much more costly.”
Open enrollment for next year’s ACA plans begins on November 1.
However, families may experience
image source from：nbcnews
