Many Affordable Care Act insurance enrollees facing premium spikes next year are part of sought-after voting demographics.
The looming premium increase is due to the Dec. 31 expiration of enhanced tax credits for ACA marketplace plans. Congressional Democrats and Republicans are at a standoff over whether to extend the credits.
Advertisement
The ACA established premium tax credits for marketplace-plan enrollees earning up to four times more than the federal poverty level. During the Covid pandemic, Democrats temporarily “enhanced” the credits by increasing their amount and expanding them to households with incomes above that 400% poverty threshold. They also capped how much a household pays for premiums at 8.5% of income.