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Health insurance premiums to jump without federal subsidies
Millions of Americans face steep increases in health insurance costs as the open enrollment period for the Affordable Care Act (ACA) marketplace begins Saturday, with key federal subsidies set to expire at year's end. Without these tax credits, average monthly premiums could rise by 114%, translating to an additional $1,000 annually-or far more in some cases-according to data from the health research nonprofit KFF.
Subsidy expiration triggers political standoff
Democrats have pushed to extend the subsidies, tying their renewal to negotiations over ending the month-long federal government shutdown. Republican leaders, however, insist the healthcare issue should be addressed separately and only after the government reopens. The impasse has left roughly 24 million Americans who rely on the ACA marketplace in limbo, with some conservative lawmakers-including Trump ally Marjorie Taylor Greene-publicly opposing the subsidy cuts.
Greene called the looming expiration "absolutely disgusting," signaling rare GOP dissent on a policy long criticized by Republicans as part of the broader Obamacare legislation.
Families brace for financial shock
For many, the loss of subsidies will force difficult choices. Stacy Cox, a small business owner in Utah, currently pays $495 monthly for coverage. Without subsidies, her family's premiums are projected to surge to $2,168-a 338% increase. "It's horrific to see real numbers," Cox said, adding that she and her husband, who both have chronic health conditions, may cancel their plan and opt for emergency-only insurance that excludes routine care.
"It's horribly stressful, because the emergency plan won't cover what I need," Cox said, citing her autoimmune disease and her husband's hereditary cardiovascular condition.
Experts warn of coverage collapse
Analysts estimate that up to seven million Americans could abandon ACA marketplace plans if subsidies lapse. Of those, four to five million may lose coverage entirely, unable to afford alternatives. The crisis extends beyond insurance: a federal court ruling Friday forced the Trump administration to fund food aid for over 40 million Americans via emergency funds, averting a suspension of the Supplemental Nutrition Assistance Program (SNAP).
President Donald Trump responded on Truth Social, calling the legal confusion "unacceptable" and directing lawyers to seek clarification on funding SNAP "as soon as possible."
What's next
With lawmakers deadlocked and the shutdown entering its second month, Democrats are also pressing to reverse Trump-era cuts to Medicaid, which serves low-income adults, children, and disabled individuals. The fate of both healthcare subsidies and government operations remains uncertain.
