As the deadline for enrolling in Affordable Care Act (ACA) health plans approaches, millions of Americans face uncertainty regarding their health insurance options. Today marks the final day for enrollment in most states, while Congress remains divided over the future of enhanced tax subsidies aimed at making ACA insurance more affordable. The tax credits, which expired on December 31, 2023, have been at the center of political contention, contributing to the longest government shutdown in U.S. history, which lasted six weeks.
The House of Representatives recently passed a measure to extend the tax credits for three additional years, with support from 17 Republican lawmakers who joined Democrats in calling for a vote. Despite this progress, the legislation faces significant challenges in the Republican-controlled Senate, which has previously rejected a separate proposal for a similar extension. A bipartisan group of lawmakers is currently working on a compromise that would provide a two-year extension of the ACA subsidies, but discussions have reportedly stalled as of Thursday.
In a related development, President Donald Trump announced a new health care proposal, claiming it would “send money directly to the American people, lower health insurance premiums, and cut kickbacks that raise insurance premiums.” As the political debate continues, the clock is ticking for Americans to make decisions about their health coverage. The official deadline to enroll in ACA marketplace plans is January 15, 2024 for most states. However, 10 states are offering extended enrollment periods, allowing residents additional time to choose a plan.
The states with extended deadlines include:
– California: January 31
– Connecticut: January 31
– District of Columbia: January 31
– Massachusetts: January 23
– Illinois: January 31
– New Jersey: January 31
– New York: January 31
– Pennsylvania: January 31
– Rhode Island: January 31
– Virginia: January 30
For those still considering ACA enrollment, rising costs are a significant factor. The nonprofit health organization KFF has estimated that, without congressional action, insurance premiums under the ACA could more than double this year for over 20 million Americans who previously benefited from the tax credits. Michelle Sternthal, interim senior director of policy and strategy at Community Catalyst, expressed concern over the situation, stating, “The end of open enrollment in many states and the most recent enrollment numbers confirm what people across the country are already feeling: We are in a health care affordability crisis.”
Some individuals have already chosen to forgo ACA coverage due to escalating costs. For instance, Stacy Kanas, a 59-year-old Florida resident, reported that her family is dropping their ACA plan after discovering their premiums would increase dramatically. “That is why we’re not choosing to be covered at this time,” she noted. “It’s cost-prohibitive.”
Recent analysis from the Urban Institute revealed that premiums for “silver” plans, which are typically the second lowest-cost option under Obamacare, have surged nearly 22% in 2026. In contrast, the think tank projected that health insurance costs for employer-sponsored plans would rise by only 7% this year.
As of January 12, 2024, data from the Centers for Medicare and Medicaid Services indicated that approximately 22.8 million people had enrolled in ACA marketplace plans, a decrease of 1.4 million compared to the previous year.
The question remains: can Congress extend the tax credits after the open enrollment period ends? Experts have pointed out that there is technically no deadline for Congress to act on this issue. Larry Levitt, executive vice president for health policy at KFF, explained, “The ACA premium subsidies are refundable tax credits, which are calculated on an annual basis. So, an extension could happen even after the deadline to sign up for coverage and be made retroactive to January 1.”
If Congress preserves the credits, both state and federal ACA marketplaces would need to update their systems, potentially extending the open enrollment period to give individuals more time to evaluate their options. However, Levitt cautioned that if a resolution is reached later in the year, it could complicate matters. “Any changes to the ACA tax credits mid-year would complicate the logistics and slow down the reopening of enrollment and the premium relief,” he noted.
As the situation evolves, millions of Americans will be watching closely to see if Congress can reach an agreement that will alleviate the current pressures surrounding health care affordability.
