The upcoming open enrollment period for Covered California highlights a critical issue: if Congress does not extend essential tax credits, an estimated 400,000 Californians could face monthly premium increases of up to 97%. This change would significantly impact those currently relying on the state’s health insurance program, with many potentially being priced out of their coverage.
Jessica Altman, the Executive Director of Covered California, stated, “We do estimate as many as 400,000 of our current enrollees could be priced out of the coverage they have today.” The urgency of this situation is underscored by the looming deadline for Congress to address funding as part of negotiations surrounding the government shutdown.
During her first press conference since announcing her retirement from Congress, Speaker Emerita Nancy Pelosi expressed her concerns regarding the potential consequences for Californians. “It is a remarkable thing that they would take half a trillion out of Medicare, millions of people out of Medicaid, and not renew the subsidies. Why? To give a tax break to the richest people in America,” she said.
Currently, nearly two million Californians are enrolled in Covered California. Among them is Tessa Spargo, a freelance teacher from San Francisco. She noted, “I’m still here for it and I have to find health insurance on my own. I wouldn’t be able to do it in the open market.” In San Francisco alone, approximately 40,000 residents depend on this vital coverage.
Daniel Tsai, Director of Public Health for San Francisco, pointed out that the program supports individuals at higher income levels than Medi-Cal, yet many still find healthcare unaffordable. “For many of those folks, health care is still otherwise unaffordable,” Tsai said.
The St. Anthony’s Foundation has a front-row view of the challenges many face in accessing healthcare. Dr. Larry Kwan, Chief Executive Director of St. Anthony’s, explained, “We see people trying to recover from addiction issues, from being on the streets. And when the first thing they need to recover is access to health care.”
The Affordable Care Act, which Pelosi helped to enact in 2010, remains a pivotal aspect of the healthcare landscape. ABC7 News caught up with her recently, asking about her legacy as she prepares for her departure from Congress. “Not so fast on the legacy. I have another year. I think the Affordable Care Act is probably the most substantial, but the legacy is outside mobilization, the participation of people in making it happen,” Pelosi remarked.
Pelosi urged Californians to take action by signing up for Covered California, emphasizing the importance of the enhanced premium tax credits. These credits are set to expire on December 31, 2025, unless Congress acts to extend them.
The situation remains tenuous, as the decisions made in Washington will directly affect the lives of hundreds of thousands of Californians who rely on this essential health coverage.
