Shoppers browsing for health insurance under the Affordable Care Act are already seeing alarming price increases for 2026 coverage, with many facing steep premium hikes even before open enrollment begins. The main reason is the scheduled expiration of the enhanced premium tax credits that were introduced under the American Rescue Plan and later extended by the Inflation Reduction Act through 2025.
These expanded subsidies made more people eligible for greater financial help and capped premiums at about 8.5 percent of household income for many who previously paid much higher amounts. With the enhancements set to expire at the end of 2025, insurers are already pricing 2026 plans as if the extra support will not continue, shifting the cost burden back onto consumers.
The result is dramatic. In several states where previewing 2026 plans is already possible, sample premiums for the same silver-level plan are more than doubling. For example, a Virginia couple in their 50s earning around $85,000 could see monthly premiums rise from about $600 to more than $1,400. In Nevada, a single 61-year-old earning $68,000 could see rates climb from roughly $500 to over $1,100. In Georgia, a 45-year-old earning $38,000 could face an increase from about $185 to nearly $480 per month.
These kinds of increases threaten to price many people out of coverage altogether. As costs rise, some consumers—especially younger and healthier ones—may choose to drop their plans, leaving behind an older and sicker risk pool that drives premiums even higher. This cycle could undo much of the progress made in stabilizing and expanding the ACA marketplace over the past few years.
The situation also highlights how policy decisions in Washington directly affect consumers’ wallets. Open enrollment for 2026 coverage begins November 1, and many families are already seeing renewal notices or preview rates that reflect the higher costs. Without action from Congress to extend the enhanced subsidies, millions of Americans could soon find their health insurance premiums unaffordable.
The winding down of these expanded tax credits is turning what was once a temporary relief measure into a major affordability crisis. Unless lawmakers act soon, the promise of affordable coverage under the Affordable Care Act could erode, leaving many households facing difficult choices between paying for insurance or other essential expenses.