Health Insurance Premiums Will Rise For 20 Million Americans. Here's How Much

If you have health coverage through the Health Insurance Marketplace, formerly known as the Affordable Care Act (ACA) marketplace, you may be among the millions of Americans whose premiums are set to spike this year. The reason is simple — enhanced tax credits that were put in place to help keep premiums more affordable expired at the end of 2025. Signed into law back in 2010, the ACA (also known as Obamacare) was designed to make health insurance more accessible for Americans, particularly those who do not have health coverage through an employer. Still, the premiums for this coverage were expensive, and they only rose throughout the 2010s. It wasn't until subsidies were implemented in 2021 and 2022 that premiums went down — helping the ACA marketplace double in size between 2021 and 2025, per KFF research data. However, as of the start of 2026, over 20 million people are set to lose those tax credits and see their premiums go up considerably as a result.

You will likely have to wait for a personal notice from your provider to know exactly how much you will be affected. With that said, some lower estimates pinpoint increases around 18%, while higher end estimates are over 110%. An Urban Institute analysis shows that premiums for the Marketplace's benchmark silver plan increased 21.7% in 2026. Meanwhile, KFF states that premiums will increase 26%, on average, while some states could be hit harder than others. For instance, per the Marketplace for Washington state – Washington Health Plan Finder — residents could see premium increases of around 65% per year.

While spiking insurance premiums are unwelcome for those affected, the expiring subsidies have been a longtime coming. Congress had until December 31, 2025 to find a way to either extend the Biden-era tax credits, or enact an alternative solution to keep ACA premiums from spiking. However, after months of increasing pressure, various proposals for a bipartisan compromise, numerous reports of infighting, and the longest government shutdown in American history, ultimately all potential measures to extend these subsidies were shot down. Worst of all, the resulting increase in ACA premiums comes alongside other congressional changes in American healthcare, such as big changes to Medicare that can delay some treatment programs, and even raise costs.

In the meantime, how much your premiums will go up could depend on whether your state has its own Marketplace, or if it is wholly reliant on the federal Healthcare.gov Marketplace. Additionally, your household income will continue to affect the amount your healthcare is subsidized. Eligibility for savings on premiums are based on your estimated income for the year you will be receiving coverage. So, if your income went up in 2025 — or at the start of 2026 — you could be facing higher premiums regardless of any Congressional debate over subsidies. 

Despite Congress not passing any measures that would have extended healthcare subsidies in 2025, legislators appear to be more focused on this issue at the beginning of 2026. On January 7, 2026, the House of Representatives passed a motion to extend the ACA subsidies for an additional three years. However, the motion still needs to clear the Senate and, ultimately, the desk of President Donald Trump – who has been open about his opposition to extending the subsidies. With that said, it is possible for lawmakers to overturn presidential vetoes, but the process take time. If you're among the millions of Americans facing rising health insurance premiums this year, it could be weeks or even months before anything is finalized, leaving you with higher bills in the meantime.

All in all, the ongoing government battle over healthcare is just the latest evidence of how tricky American healthcare coverage has been to navigate, especially for those who have recently lost their jobs or are trying to navigate surprise health care costs in retirement. Staying on top of upcoming changes, reviewing your healthcare budget, and knowing what your coverage options are are all key to avoiding any additional unwelcome expenses — no matter what happens throughout 2026.