Tennessee Families Face potential health Insurance Doubling as Federal subsidies near Expiration
NASHVILLE, TN - Hundreds of thousands of Tennessee families could see their health insurance premiums nearly double in 2026 if Congress fails to extend enhanced Affordable Care Act (ACA) subsidies, according to a new analysis by the Kaiser Family Foundation (KFF). Nationwide,average premiums are projected to rise by 18%,but Tennessee could experience increases as high as 26%.
Currently, over 600,000 Tennesseans are enrolled in ACA coverage, and many rely on the expanded premium tax credits to make coverage affordable. KFF’s analysis indicates a family currently paying around $74 per month could see their monthly bill jump to over $160 if the subsidies expire.
The important growth in Tennessee’s ACA marketplace enrollment – from approximately 246,000 in 2020 to 640,000 this year – is directly linked to these enhanced credits, making coverage accessible to middle-income americans who would otherwise likely go uninsured.
“States like Tennessee, South Carolina, Georgia, Texas, Florida have seen their marketplace populations explode over the last four or five years as of these enhanced premium tax credits,” explained KFF policy analyst Matt mcgough. “It made coverage affordable for many middle Americans who otherwise would have gone uninsured.”
Experts estimate that as many as 400,000 Tennesseans could lose coverage altogether. The impact is expected to be particularly severe in rural communities,where access to healthcare is already limited.
“If people don’t have insurance, rural hospitals and rural clinics lose revenue,” said Michael McSurdy, President and CEO of Family & Children’s Service.”The impact on those people is going to be lack of health care, period.”
The future of these subsidies is currently tied to a broader budget debate in Washington, D.C. While Democrats advocate for extending the program to maintain healthcare access, Republicans cite cost concerns.
Unless a deal is reached, the changes are scheduled to take effect on January 1, 2026.
