ACA Marketplace Premiums Expected to Soar in 2026 Without Congressional Action

Affordable Care Act (ACA) Marketplace health insurance premiums are projected to increase significantly in 2026 due to the expiration of pandemic-related enhanced premium tax credits unless Congress intervenes. These subsidies, which helped more than 24 million enrollees, are set to disappear at the end of 2025, leading to an estimated 75% rise in monthly out-of-pocket costs for subsidized enrollees. Insurers are also proposing base premium hikes driven by medical inflation and rising drug prices, with some increases exceeding 20%, marking the largest jump since 2018. The impact of premium increases extends beyond the ACA Marketplace, with private insurers and employer-sponsored plans also expected to raise costs for policyholders. Public support for extending the enhanced subsidies remains high, but legislative challenges persist, and the outlook for renewal appears uncertain without political shifts.