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Expanded ACA Subsidies Expire, Driving Up January Costs for Enrollees

The lapse follows opposition from President Trump and many Republican lawmakers.

Overview

  • The temporary expansion of subsidies under the Affordable Care Act ended on December 31, 2025.
  • Consumers are expected to face sharply higher out-of-pocket expenses starting in January 2026, with average costs possibly more than doubling.
  • Nearly 22.4 million people—about 7% of the U.S. population—received the enhanced assistance in 2025, according to U.S. think tanks cited in the reports.
  • Democrats advanced a three-year extension in the Senate, but the proposal was defeated as most Republicans opposed it.
  • Rising premiums and cost sharing are viewed as potential factors in the outcome of the U.S. midterm elections in November.