Some Americans say they’ll go without health insurance as ACA rates spike
As the new year rolled in, Kassidy Hooter faced a daunting reality – the cost of her health insurance was skyrocketing, making it unaffordable for her family. With a high-risk pregnancy in its final trimester, Hooter was in urgent need of medical care but the looming expenses were overwhelming. The expiration of a federal tax subsidy on Dec. 31, 2025, meant that Hooter and her family would be burdened with thousands of dollars in additional out-of-pocket costs.
Considering the exorbitant expenses, Hooter contemplated the idea of giving birth at home as a cost-saving measure. The financial strain was simply too much to bear. Eventually, she made the difficult decision to go without insurance altogether.
A local medical center extended three months of financial aid to Hooter, covering her until her due date in February and beyond. However, after that period, she will be responsible for all medical expenses. Her plan now is to swiftly enroll her newborn in Medicaid, a government health plan for low-income individuals.
“I’m just hoping for the best,” Hooter expressed to CBS News.
Health insurance as a “luxury”
Introduced in 2010, the Affordable Care Act (ACA) has significantly reduced the percentage of uninsured Americans from around 15% to 8%, according to Nima Sheth, VP of health justice at the National Partnership for Women and Families. However, experts warn of a potential surge in the number of uninsured individuals if Congress fails to address the 22 million Americans who benefitted from ACA tax credits. The Congressional Budget Office estimated in 2024 that without an extension of these credits, the number of uninsured Americans would rise by an average of 3.8 million yearly from 2026 to 2034.
Americans in most states have until Jan. 15 to enroll in an ACA marketplace plan, as reported by healthinsurance.org.
Without the tax credits, premiums for ACA enrollees who previously relied on subsidies are projected to rise by an average of 114%, according to KFF, a nonprofit specializing in health policy news and research. The shift in policy is transforming health insurance into a luxury item and making medical debt the default option, remarked Michelle Sternthal, interim senior director of policy and strategy at Community Catalyst, a health care advocacy group.
The House of Representatives recently passed a bill for a three-year extension of the expired ACA tax credits. While the legislation faces challenges in the Senate, lawmakers remain optimistic that a compromise can be reached to preserve the credits in some form.
“It’s weighing extraordinarily heavily on me”
Stacy Kanas from Plantation, Florida, is among those grappling with the impact of the ACA tax credit expiration. Facing a monthly premium increase to $2,500 for coverage of herself and her husband, Kanas is contemplating going without health insurance. The financial burden is immense, especially considering her husband’s past major surgery. The uncertainty of being uninsured is a source of great concern for Kanas.
Even individuals who retain their ACA coverage may opt to forego necessary care to avoid high out-of-pocket expenses, experts caution. Robert Myers, a consultant from outside St. Louis, Missouri, shifted from a silver ACA plan to a bronze plan due to a significant premium increase. While his new plan has no monthly premium, the $80 co-pays and an $8,000 deductible could result in substantial out-of-pocket costs. Myers plans to cut back on doctor’s visits, a trend that could lead to more emergency room visits for urgent care.
This domino effect of delays in care can have broader implications, increasing uncompensated hospital care costs and, consequently, raising expenses for other patients. Sternthal advocates for an extension of the ACA tax credits to prevent families from making choices that jeopardize their health and financial stability.
“Every delay locks families into decisions that harm their health and their financial stability, but then also reverberates out into the business community, the local community,” she emphasized.
