Obamacare Premiums Expected to Soar 75% Nationwide in 2026 Without Tax Credit Extension

Health insurance premiums for millions of Americans purchasing coverage through the Affordable Care Act (ACA) marketplaces are poised to rise sharply in 2026 due to the impending expiration of enhanced premium tax credits introduced during the Biden administration. These credits, which helped make insurance more affordable since 2021, are set to expire at the end of this year unless Congress passes an extension, with Republican opposition creating a legislative deadlock. Without the credits, states like California, Indiana, and Oregon could see premium increases ranging from about 75% to over 100%, causing many lower- and middle-income individuals to lose financial assistance and potentially drop their plans. This would not only increase premiums for remaining enrollees—typically older and sicker—but also could lead to more uninsured Americans and strain on healthcare systems, especially in rural areas. State officials and health policy experts warn of significant financial hardship and anxiety among enrollees, with some states allocating emergency funds that fall far short of the estimated billions needed to offset the losses. The situation underscores the broader challenges of U.S. healthcare affordability and the ongoing policy debate over the future of ACA subsidies and marketplace access.