WASHINGTON (AP) – Millions of Americans could see significant increases in health insurance premiums as soon as next month if congress fails to extend Affordable Care Act (ACA) subsidies set to expire, sparking a debate within the Republican party over how to address the looming issue ahead of the midterm elections.
A potential stopgap bill to fund the government for a few weeks is being considered by Republican leaders, but currently does not include an extension of the subsidies. However, some GOP members are concerned about the political fallout of rising premiums.
Senate Majority Leader John Thune, R-S.D., has called on Democrats to present a proposal for extending the subsidies, stating, “Maybe there is something we can do in the middle as a solution,” in a recent Punchbowl News interview.He acknowledged division within his party on the matter but ruled out immediate action, noting that premium notices will soon be mailed to consumers. A short-term spending measure is not expected to include the extension.
House Speaker mike Johnson, R-La., has indicated that many of his members oppose an extension, though he has not definitively dismissed the possibility.
Fifteen House Republicans representing competitive districts have introduced legislation to extend the tax credits for one year. Rep. Jen Kiggans, R-Va., who spearheaded the effort alongside Rep. Tom Suozzi, D-N.Y., emphasized the need for a plan, stating, “While the enhanced premium tax credit created during the pandemic was meant to be temporary, we should not let it expire without a plan in place.” Kiggans highlighted the particular vulnerability of middle-class and small business owners in districts like hers.
Several senate Republicans also expressed support for an extension. Sen. Josh Hawley, R-Mo., warned of “massive increases” in premiums, perhaps making coverage unaffordable for many. Sen.John Cornyn, R-Texas, suggested scaling back subsidies for higher-income recipients, stating, “I think we all know that access to health care is crucial and we take it very seriously.”
Senate Finance Committee Chairman Mike Crapo, R-Idaho, is exploring potential solutions, saying, “There are a lot of ideas being thrown out there…I’m trying to find a solution, I’m not telling you what the solution is.”
Though, some Republicans remain opposed. Sen. Ron Johnson, R-Wis., cited the cost to taxpayers, stating, “It’s costing us billions of dollars.”
Open enrollment begins Nov.1, and ACA plan prices are expected to be posted next month, potentially leading to “real sticker shock,” according to Sen.Tammy Baldwin, D-Wis., who stressed the importance of timing.
