Healthcare subsidies for millions of Americans expire

Insurance subsidies that lower healthcare costs for millions of Americans expired Wednesday. The credits were canceled by congressional Republicans eager to roll back the Affordable Care Act, passed during the Obama administration to limit the costs of medical treatment. Many of the 22 million people receiving subsidies are expecting to see their insurance premiums soar in 2026.

The dispute led to the longest government shutdown in U.S. history as a spending bill was held up by negotiations; several Democratic representatives ultimately caved and joined Republicans to end the shutdown and the credits.

"The ACA tax credits expire at midnight," House Minority Whip Katherine Clark (D-Mass.) wrote on Twitter Wednesday. "Millions will see their premiums skyrocket because Republicans refused to act. You deserve better, and Democrats will keep fighting to lower costs."

A KFF analysis last month found that people who buy insurance from the marketplace, and receive financial assistance, would see their premiums rise by about 114% on average, from $888 in 2025 to $1,904 in 2026.

The ACA limited the scope of "junk" policies that provide little care or coverage, but they re-emerged under President Trump's first administration and many will soon be tempted to get the cheapest plans on offer.

CNBC says the expiration of the subsidies will hurt minorities, early retirees, middle-income households, small business owners and the self-employed most of all, and hit hardest in states Trump won in 2024.

ACA enrollment has more than doubled since 2020, from roughly 11 million to a record-high 24 million in 2025, according to a KFF analysis of federal data.

Most of that enrollment boost came in states Trump won in the 2024 election.

About 88% of the total growth in the ACA marketplace since 2020 — 11.4 million out of 12.9 million new enrollees — is from such states, according to KFF.