Congressional Democrats on Wednesday introduced a bicameral bill to extend enhanced subsidies that help make the Affordable Care Act’s (ACA) insurance plans cheaper, the official opening shot in what will likely be the next major fight over the law.
The legislation from Sens. Jeanne Shaheen (D-N.H.) and Tammy Baldwin (D-Wis.), as well as a companion House bill from Rep. Lauren Underwood (D-Ill.), would make the enhanced tax subsidies permanent.
Millions of enrollees have come to rely on the enhanced subsidies, and they’ve helped boost health insurance enrollment to record levels. Many of the people who have benefited the most are in red states that haven’t expanded Medicaid.
If they are allowed to expire in 2025, 20 million Americans will see an average premium spike of almost 80 percent, KFF found.
Extending the subsidies would be extremely expensive, however; according to the Congressional Budget Office, permanently extending the ACA’s tax credits would increase the deficit by $335 billion over the next 10 years. But 3.4 million more people annually would have health insurance.
Posted by John3262005