Covered California Faces Enrollment and Coverage Challenges Amid Uncertainty Over Federal ACA Subsidies

Covered California currently provides health care plans to nearly 2 million Californians through the Affordable Care Act. The program faces potential disruption if federal COVID-19 era health care subsidies, including enhanced tax credits, are not extended by Congress. Executive Director Jessica Altman highlighted that up to 400,000 enrollees could lose coverage or seek alternatives without these subsidies. Amid ongoing open enrollment, Covered California is urging current participants to review their health coverage options proactively to adapt to the uncertainty surrounding the federal subsidy extension. This development underscores the critical interaction between federal policy decisions and state-level health insurance markets under the ACA framework.