Center for American Progress

RELEASE: Congress Must Extend American Rescue Plan Subsidies To Prevent Rise in Health Premiums
Press Release

RELEASE: Congress Must Extend American Rescue Plan Subsidies To Prevent Rise in Health Premiums

Washington, D.C. — Unless Congress acts soon to extend the American Rescue Plan Act (ARPA) subsidies, marketplace enrollees will face higher health care costs next year, and 3 million people will become uninsured.

A new column from the Center for American Progress argues that the budget reconciliation process is Congress’ best opportunity to keep health costs low. ARPA provided enhanced subsidies for marketplace coverage for only two years: 2021 and 2022. Unless Congress takes action to extend those subsidy enhancements, people who buy insurance on their own will face higher premiums for coverage in 2023.

If Congress waits until the last minute to act, HealthCare.gov, state marketplaces, and issuers will have to scramble to adjust plan premiums and processes for eligibility determinations, the column warns. That could jeopardize a smooth open enrollment experience for consumers.

“It’s time for Congress to act now to extend enhanced marketplace subsidies,” said Nicole Rapfogel, a research associate at CAP and co-author of the column. “Making these subsidies permanent would support both individual and public health.”

Read the column: “Americans Will See Health Premiums Rise Sharply Unless Congress Acts Soon” by Nicole Rapfogel and Emily Gee

For more information or to speak with an expert, please contact Sam Hananel at shananel@americanprogress.org.