John Thune

Jan. 1 (UPI) — Insurance premiums are set to rise exponentially for Americans who have bought their health care policies through an Affordable Care Act exchange because Congress failed to extend subsidies for them.

Without the extension of the subsidies, people who have bought their health insurance through an ACA exchange will see their premiums increase by roughly 26% on average, with the increases expected to be higher in states that use the federal Healthcare.gov exchange while states that run their own exchanges may see lower increases, The Hill reported.

In 2025, about 24 million Americans bought health insurance through an ACA exchange, which are often referred to as Obamacare, which is the highest number of people who bought policies through the program since it debuted in 2010.

The government shutdown in the fall — which, at 43 days, was the longest in history — was centered around Democrats in the U.S. Senate pushing for an extension of enhanced ACA subsidies that were introduced during the COVID-19 pandemic to help Americans obtain insurance and care.

In recent weeks, bipartisan plans to extend the subsidies have emerged, including one in the Senate that calls for a three-year extension of the subsidies.

Among the Republicans who support the bipartisan bill are Missouri Sen. Josh Hawley, who has not specifically commented on extending the subsidies but has said that he is concerned about people whose health insurance costs may increase in the ongoing absence of Congressional action, Fox News reported.

“I think who it’s most disappointing for are the people whose premiums are going to go up by two, three times,” Hawley told reporters this week. “So, it’s not good.”

During the shutdown, Democrat members of Congress pushed for an extension — it was their stated reason for voting against several bills to fund the federal government, causing and extending the shutdown — which Senate Majority Leader John Thune, R-S.D., promised a vote on in mid-December.

Once the government reopened, the Senate voted on two health care related bills, one from Democrats and the other from Republicans, and both failed on party line votes.

1 of 3 | House Minority Leader Hakeem Jeffries, D-NY, said Sunday that he expects the House to pass a three-year extension of tax credits for people buy health insurance through Affordable Care Act exchanges. Photo by Bonnie Cash/UPI | License Photo

Dec. 21 (UPI) — House Minority Leader Rep. Hakeem Jeffries, R-N.Y., said Sunday that he expects lawmakers to pass a bipartisan compromise on extending Affordable Care Act tax credits.

Jeffries said on ABC News’ “This Week” that lawmakers will pass a bi-partisan compromise to extend ACA tax credits extension in the House, potentially forcing Senate Republicans hand on health insurance subsidies for at least 22 million Americans who will face higher premiums in the new year.

Congress adjourned for Christmas without reaching a deal on extending on the tax credits, which Jeffries promised that House lawmakers will address in early January.

“That will put pressure on John Thune and Senate Republicans to actually do the right thing by the American people, pass a straightforward extension of the Affordable Care Act tax credits, so we can keep health care affordable for tens of millions of Americans who deserve to be able to go see a doctor when they need one,” Jeffries said.

Democrats have said if the two sides are unable to reach a deal on an extension, they will wield it against Republicans in next year’s midterm elections.

Rep. Pat Ryan, D-N.Y., has said access to affordable health care remains among the most pressing issues among voters.

“It’s just pathetic,” Ryan said. “The last time there was a major national Republican effort to repeal the ACA, we had an overwhelming wave where they got absolutely wiped out, and I think that’s likely what will happen here again.”

A handful of centrist Republicans in vulnerable congressional districts bypassed the authority of House Speaker Mike Johnson to team up with key Democrats to authorize a vote on a three-year tax credit extension when the House returns to Washington the week of Jan. 5.

Some Republican leaders have said they favor allowing Covid-era tax credits that made health care more affordable for millions of Americans to expire or be phased out over several years. Other members of the GOP, however, have said they favor extending the credits for longer.

By a vote of 51-48 Thursday, the Senate rejected a three year ACA extension with four Democrats joining the GOP to vote it down.